On common, Agicap’s shoppers handle 15 completely different financial institution accounts every. So the chief monetary officers (CFOs) working for these corporations generally battle to guarantee that there can be sufficient cash in the precise checking account to pay workers and suppliers throughout completely different subsidiaries, nations and currencies.
That’s additionally why they flip to Agicap to centralize cash-related information and forecast future money positions. The Lyon-based startup simply raised a Series C funding spherical of €45 million (round $48 million at present change charges) from a single investor, AVP, the VC agency beforehand often called Axa Venture Partners.
The fintech startup beforehand raised $100 million, again in 2021, proper in the midst of the digital funding frenzy across the pandemic. At the time, the corporate reached a valuation of €415 million (or round $450 million at present change charges). The worth of the enterprise has since inflated “substantially”, per Agicap, although it isn’t disclosing by how a lot.
“We aren’t disclosing the exact valuation, but we have managed to increase it substantially since 2021,” co-founder and CEO Sébastien Beyet (pictured above) advised TechCrunch. Pressed on this he gave us a touch of the brand new valuation: Les Échos beforehand reported that Agicap was elevating at a valuation between €700 million and €800 million (or $750 million to $860 million) — and Beyet stated: “We’re sticking with this range.”
Narrow focus — ‘huge’ market
Agicap’s relative success comes right down to a slender give attention to treasury administration software program — it isn’t making an attempt to do all the pieces without delay like most fintech startups.
It’s additionally a comparatively untapped market as many corporations nonetheless depend on Excel and file exports from financial institution accounts and ERP software program. Evidence of this lies in a latest research Agicap did with 500 European CFOs of midmarket corporations. When requested in regards to the instrument of option to handle and forecast their money positions, 80% of them answered Excel.
It’s additionally value noting that Agicap’s essential prospects are CFOs and monetary departments. And when groups in control of cash like a product they’re not going to unsubscribe anytime quickly.
Agicap prospects can sync information from their present financial institution accounts, credit score establishments and ERP options. It then acts as a central repository to view all the pieces associated to previous and future money flows. But Agicap isn’t only a visualization dashboard; customers can provoke and schedule transfers instantly from its interface, too.
“We think that we’ll be able to use cash management as the basis for what we call the CFO suite, and provide other tools to CFOs and treasurers,” Beyet stated.
In that vein, extra just lately, the startup added accounts payable and accounts receivable. These options assist you receives a commission quicker as you may see pending invoices and nudge prospects in case they’re late. Similarly, Agicap imports buy orders in an effort to pay suppliers on time and use that information to your upcoming budgets.
The startup at the moment has 8,000 prospects with round half of them in France. Most of its remaining prospects are unfold throughout different European nations. “We focus on mid-sized companies, with an annual revenue of €5 million to €10 million on average — and up to €500 million,” Beyet stated.
“We’ve already reached a break-even position on a cash basis for this quarter. So we didn’t need to raise any additional funds to continue our development. But we believe our market is huge,” he added.
In addition to hiring new folks to search out new prospects, Agicap plans to make use of the funding to launch new options round credit score administration and international change threat administration.
What about providing credit score merchandise instantly? “We don’t want to become a bank,” stated Beyet. “In other words, we don’t want to take on the financial risk of lending money ourselves. We know how to make software, and that’s what we intend to focus on.”
