Translucent, an accounting platform tailoring solutions for multi-entity and multi-national businesses, has garnered a substantial €5.9m seed round.
This fresh capital injection was jointly orchestrated by Chalfen Ventures and LocalGlobe. With this, the total fund standing tallies to an impressive €9.1m, factoring in their previous €3.2m pre-seed round from just half a year prior.
Translucent’s unique selling point lies in its capability to amalgamate financial data and workflows of multi-entity businesses. It offers a novel suite of applications that integrate seamlessly with well-established accounting software brands like Xero, QuickBooks, and Sage. Currently, users can access the ‘Search’ app, with ‘Group Reporting’ undergoing beta testing and ‘Live Sheets’ being queued for user testing. This recent funding will pave the way for the development of new applications, namely ‘Intercompany Transactions’, ‘BI & Analytics’, and ‘Financial Close’.
Founded by CEO Michael Wood in 2022, Translucent’s roots trace back to London. Michael’s prior venture, Dext (earlier known as Receipt Bank), saw remarkable success when it got acquired by Hg in 2021 for an amount in the ballpark of several hundred million GBP. This made it one of the significant SaaS exits in the UK. It’s noteworthy that Dext has found its way into over 10,000 accounting firms globally, boasting over a million users.
Michael Wood, Founder and CEO of Translucent, shared his enthusiasm: “Since announcing Translucent in March we have been delighted by the volume of interest we have received. This fundraising allows us to further build out our platform and solve the accounting and finance problems faced by multi-entity businesses.”
Translucent’s backers include eminent names in the angel investor circuit. The list features the likes of Craig Walker, Co-founder and former CTO of Xero, and Gary Turner, Co-founder and former Managing Director of Xero UK. Additionally, founders from FinTech and accounting-tech frontrunners such as GoCardless, Jeeves, Karbon, Libeo, ComplyAdvantage, Ignition, Hubdoc, and KashFlow are also supporting this venture.
Mike Chalfen of Chalfen Ventures elucidated: “Translucent’s insight is that unified accounting data can be the basis of financial and operational insight for every multi-entity business. Michael is the best entrepreneur in the world to build a business based on this insight. And the opportunity to create a compound startup that drives insight for multi-entity businesses is huge; so joining the Translucent family fits perfectly into my mission of backing software startups whose technology will fundamentally alter the way companies operate.”
Acting as a bridge, Translucent enables businesses to continue leveraging the SMB solutions they are familiar with, while ensuring that their financial data is consolidated into a unified location, making it easily accessible and editable. The platform has garnered interest from a diverse range of global businesses, spanning software companies, restaurant groups, and property developers.
Remus Brett of LocalGlobe VC added his two cents: “The demand from multinationals for Translucent is as significant as it is unsurprising. Michael and his team have built a platform that is solving a very real problem for an ever-growing number of businesses around the world, and we’re delighted to be backing him again.”
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