Canada-based API developer that enables financial institutions and FinTechs to get real-time access to their customers’ accounting data Railz raked in $12m in Series A funding.
The round was led by Nyca Partners, with participation from Susa Ventures, Vestigo Ventures, Entrée Capital Global Founders Capital, Plug and Play Ventures, N49P and Hack VC. In conjunction with the funding, partner at Nyca Partners Jeremy Solomon joined Railz’ board. This is on top of a $3.1m seed round that closed at the end of 2020.
The company intends to use the funds to fuel future growth and continue to build its sales and engineering teams. Furthermore, it aims to boost its market reach targeting more FinTechs, banks and wealth management firms who are looking to build financial applications within lending, audit, cashflow and trade finance verticals.
Led by Sohaib Zahid, Railz provides a single API that integrates with all major accounting platforms used by small businesses which enables on-demand access to financial transactions, analytics, insights and reports. Its Data-as-a-Service solution provides direct access to small business customers’ accounting data and can be up and running in hours. By having up the minute accounting data fed directly into their decision-making systems, financial institutions can make more informed and timely decisions.
Highlighting the importance of streamlining data for FinTechs, Zahid said, “While there are many players who focus on collecting data across various accounting packages, the challenge of understanding what the data actually means and how to categorize it, continues to be a major hurdle for the users of this information. Railz’s data normalization solution, coupled with our insights and analytics engine, is the secret sauce that can address this challenge – and tackle it more accurately and quickly than any other service offering in market.”
Echoing a similar sentiment, Solomon added, “Businesses use accounting software as a single source of truth to record the financial health of their company. Sharing this data with another party is currently a manual process that is slow, expensive and error-prone.”
Copyright © 2021 FinTech Global
