Helping Businesses Automate Bill Payments and Invoicing
Apart from the Altman brothers, digital freight company Flexport and a number of angel investors also participated in the latest funding round, including Instacart co-founder Max Mullen, Airbnb co-founder Joe Gebbia, Box co-founder and chief executive Aaron Levie, as well as Salesforce founder and CEO Marc Benioff.
Routable was founded back in 2017 by CEO Omri Mor and CTO Tom Harel, who worked at marketplaces and recognized the necessity for more effective internal tools and scaling enterprise payments.
Mor and Harel’s research showed that a large portion of the business payment solutions, which were popular at the time, was designed for major companies and with a low volume of business payments.
“After running enough customer development we identified a huge scramble to solve high-volume business payments, and that’s what we double down on,” Mor said.
The new round comes around eight months after the fintech startup company secured $12 million in Series A. The main focus of the fintech business is to automate bill payment and invoicing processes, allowing businesses to focus on developing their product and not worry about payments.
“A business payment is more like moving a bill through Congress, where a consumer payment is more like a tweet. We automate every step from purchase order to reconciliation and by extending an API, companies don’t have to build their own inner integration. We handle it, while helping them move their money faster,” Mor added.
He said that Routable’s business revenue rose as much as 380% since its Series A in August 2020. Last month, the number of customers that use fintech services of Routable tripled compared to February. Some of its popular clients include Snackpass, Ticketmaster, Re-Max, and others.
“We’ve been beating every quarter expectation for the past 18 months,” Mor said.
At first, the company was focused on serving startup and small-and-medium-sized businesses but after seeing a significant increase in demand, the company took a step forward and expanded into the enterprise world.
So far, Routable has integrated with QuickBooks, NetSuite, and Xero and expects to continue investing and integrate with top companies such as Oracle, Microsoft Dynamics Workday, and SAP.
The fintech startup business is headquartered in San Francisco and Seattle. The latest funding round brings Routable’s total raised to $46 million.
Sam Altman said Routable attracted his interest after he personally struggled with high-volume business payments and because he collaborated with other startup founders who dealt with the same issue. He added that Routable’s engineering-forward strategy is another thing that caught his attention.
Fintech startup business Routable secured $30 million in a Series B round, led by Sam and Jack Altman. The new funding round comes just eight months after the fintech startup company, which helps businesses to automate bill payment and invoicing processes, secured $12 million in Series A funding.
About the Author
Luigi Wewege is the Senior Vice President, and Head of Private Banking at Caye International Bank. Outside of the bank, he serves as an Instructor at the FinTech School which provides online training courses on the latest technological and innovation developments within the financial services industry. Luigi is also the published author of: The Digital Banking Revolution.