Contabilizei, the largest accounting firm in Brazil, today announced securing a substantial $125m investment from global growth investor Warburg Pincus.
Founded in 2013, Contabilizei specializes in automating accounting tasks primarily for small businesses and self-employed professionals, currently serving over 50,000 clients.
With this new investment, Warburg Pincus has become the largest shareholder in Contabilizei, acquiring stakes from earlier venture capital investors, including Kaszek.
Contabilizei is distinguished for its robust technology that automates 99% of the accounting processes necessary for company registration, tax calculations, and compliance. This technology not only handles accounting records efficiently but also adapts to the unique tax regulations across various regions. Moreover, Contabilizei has integrated banking solutions and recently expanded its offerings to include health plans, making it a comprehensive platform for its clientele.
Bruno Maimone, Managing Director at Warburg Pincus, said, “Contabilizei strengthens Warburg Pincus’ thesis of investing in scalable technology companies in sectors that still have low technology adoption and growing demand. We see great potential in the company, especially in a market still dominated by manual processes, with ample room for automation and the use of artificial intelligence. Additionally, there is significant room for further monetization through the expansion of financial services offered on the platform.
“The investment in the company is also aligned with our global strategy, as we have a long history of investing in companies in the tax automation space in the United States, such as Avalara and Chipsoft.”
Vitor Torres, CEO and founder of Contabilizei, commented on the impact of this investment, “In a highly fragmented market, dominated by traditional companies relying on manual processes, we have reached more than 50,000 clients thanks to the superior quality of our services, increased efficiency through time savings, and, most importantly, offering the complete range of services that entrepreneurs need.”
Keep up with all the latest FinTech news here
Copyright © 2024 FinTech Global
