TL;DR We’ve experienced an astonishing year and a half. In 2018 we raised two rounds of funding: a Series A of $10.5 million and a Series B of $35 million. That investment helped us become one of the fastest growing companies in FinTech. Today we’re excited to share we’ve secured another round for an additional $200 million–accelerating our vision. This round of funding was led by NEA with participation by Pelion and Insight Ventures, both of whom participated in our previous rounds.
To achieve our vision, Divvy will need to be much more than the best payment, budgeting and expense reporting solution. Rather, we’ll need to continue to innovate faster and with more precision internally, and with our clients and partners. If we do that correctly we believe Divvy will become the financial nervous system of every company; the indispensable part of the finance tech stack for a team to manage their spending before it actually happens (not just after). We’re creating an entirely new category—we call it pre-spend management — and every single company needs it.
What Salesforce was to revenue, account management, and the VP of Sales, Divvy will be to spending, expenses, and the VP of Finance. Imagine one platform that can manage all cash flow for finance leaders, both cash in and cash out. It would not only cover employee expenses, but bill pay for vendors, short-term cash flow needs to grow the business, and much, much more. The kicker? All of it is wrapped in delightful, easy-to-use software. And it’s all…..free. Really. Free.
Oh, and did we mention growth?
Here are a few numbers to put our growth into context:
- In early 2018 we had a handful of customers, today we are approaching 3,000.
- Sustained month-over-month revenue growth of 30% – 50%
- There were 1,531,859 transactions on Divvy’s platform during 2018.
- Our clients have created almost 20,000 budgets within Divvy, which means they have far more visibility, control, and ability to prevent overspending.
- Our clients have created hundreds of thousands of virtual credit cards within Divvy, which prevents vendors from overcharging and eliminates single-card risk.
Our co-founder and CEO, Blake Murray had to say about this round of fundraising,
Divvy Co-Founders Alex Bean and Blake Murray.
“This investment allows us to deepen the Divvy platform and experience—furthering our mission to “make money smarter” for all businesses. Beyond that, it gives us the resources we need to invest deeply in our team and platform in a way that greatly accelerates our vision. We’re also excited to welcome NEA to the Divvy family and we share their commitment to helping reshape financial technology.”
Speaking of NEA, we couldn’t be more excited to be working with such a talented group of investors. Scott Sandell, Managing General Partner of NEA, will join Divvy’s Board of Directors. Scott will bring years of knowledge to Divvy and we know he will help us to keep the ship on the right course and to mix metaphors, help us become a well-oiled machine.
”We are thrilled to support Divvy in their mission to modernize the way businesses handle money. In only a year in a half, Divvy has established itself as one of the fastest growing fintech companies we’ve ever seen. The company’s unprecedented growth is a testament to both the team and the compelling product they have built, which is alleviating a major pain point experienced by all businesses,Scott SandellManaging General Partner of NEA.
We couldn’t be more excited for the path ahead and we’re grateful for all of our customers believe in what we’re working to accomplish. Our goal is and always has been to provide our customers with the best experience possible, while giving businesses the modern tools they need to make business finance easier and more intuitive. We’ve got some really big things planned this year and this investment will help us achieve those plans. Stay tuned.