The French company Pennylane has secured $18.4 million (€15 million) in funding to further develop its accounting solution, which integrates automated systems with the expertise of professional accountants. This investment round includes participation from current backers Global Founders Capital and Partech.

Pennylane functions as both a software provider, offering a service to manage your financial records, and a traditional accounting practice. This dual approach allows for direct communication with your accountant through their platform, establishing a centralized hub for all financial data.

The company aims to streamline processes for both its clientele and its accounting professionals. Typically, accounting firms spend considerable time processing data received on a monthly or quarterly basis, involving the tedious task of opening files and manually inputting information into accounting software.

Likewise, financial reports often lack transparency for Chief Executive Officers and Chief Financial Officers. They are frequently unable to utilize this data effectively for forecasting and gaining clear financial insights. Pennylane intends to address this by eliminating the need for spreadsheet software to estimate a company’s profit and loss statement.

Upon initiating a partnership with Pennylane, users connect their accounts to existing third-party platforms containing essential data, such as Stripe, Payfit, Qonto, Zoho, and Sellsy. This ensures data remains current, avoiding the limitations of manual data exports from various services.

Within a year of its launch, Pennylane has achieved €2 million in revenue ($2.5 million) and gained a customer base of 550 businesses. The company currently employs 30 accountants.

The startup’s future plans involve expanding its reach to a wider range of businesses, particularly those with existing internal accounting departments or established relationships with external accounting firms. Pennylane’s software-as-a-service will be available for use in conjunction with a company’s current accountant.

Pennylane had previously completed a seed funding round of $4.3 million (€4 million) with the support of Global Founders Capital, Partech, and Kima Ventures.