Total amount raised
$277 Million
Latest funding date
9/1/2022
Location
ZenBusiness has successfully raised funding over six rounds, with the latest being a Venture - Series Unknown round. The company is backed by 22 investors, including notable names like ATX Venture Partners and Oak HC/FT.
ZenBusiness offers a comprehensive platform that empowers entrepreneurs with AI tools, expert guidance, and compliance support to confidently start, run, and grow their businesses. Keep reading to explore the intricacies of ZenBusiness's fundraising journey and the investors backing this innovative platform.
What Is ZenBusiness?
ZenBusiness, based in Austin, Texas, operates in industries such as Business Development, Business Information Systems, FinTech, and Internet. The company employs between 501-1000 people.
ZenBusiness provides a platform that helps individuals start, run, and grow their businesses with services like LLC formation, compliance, website and domain services, banking and bookkeeping, tax advice, and expert customer support. The company emphasizes ease of use, affordability, and comprehensive support to help entrepreneurs succeed.
How Much Funding Has ZenBusiness Raised?
- Seed Round
- Amount Raised: USD 4,500,000
- Date: February 2018
- Lead Investors: Lerer Hippeau
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop the initial platform and services for helping entrepreneurs start their businesses.
- Series A
- Amount Raised: USD 15,000,000
- Date: September 2019
- Lead Investors: Greycroft
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the platform's capabilities and reach more entrepreneurs.
- Series B
- Amount Raised: USD 55,000,000
- Date: November 2020
- Lead Investors: Cathay Innovation
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance product offerings and scale operations.
- Series C
- Amount Raised: USD 200,000,000
- Date: November 2021
- Lead Investors: Oak HC/FT
- Valuation at Round: USD 1.7 billion
- Motivation Behind the Round: To invest in product development, particularly the ZenBusiness app, and enhance fintech capabilities.
- Series Unknown
- Amount Raised: USD 2,460,005
- Date: September 2022
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To continue supporting the growth and development of the platform.
Total Amount Raised: USD 276,960,005. Current Valuation: USD 1.7 billion.
Key Investors
- Oak HC/FT
- Details: Oak HC/FT is a venture and growth equity firm investing in healthcare and fintech sectors. Founded in 2014, it manages $3.3 billion in assets.
- Investment Focus Areas: Healthcare, Fintech
- Notable Investments: ZenBusiness, Insureon, Poynt
- SoftBank Vision Fund 2
- Details: SoftBank Vision Fund 2 is a venture capital fund managed by SoftBank Group, focusing on technology-driven companies. It aims to support transformative technologies and innovative business models.
- Investment Focus Areas: Technology, Innovation
- Notable Investments: ZenBusiness, ByteDance, Grab
- Cathay Innovation
- Details: Cathay Innovation is a global venture capital firm that partners with startups across North America, Europe, and Asia. It focuses on driving innovation through strategic investments.
- Investment Focus Areas: Technology, Digital Transformation
- Notable Investments: ZenBusiness, Chime, Ledger
- Greycroft
- Details: Greycroft is a venture capital firm that invests in early and growth-stage technology companies. It has a strong focus on internet and mobile technology sectors.
- Investment Focus Areas: Technology, Media
- Notable Investments: ZenBusiness, Venmo, The RealReal
- Lerer Hippeau
- Details: Lerer Hippeau is a seed-stage venture capital firm based in New York City. It invests in early-stage companies across various sectors.
- Investment Focus Areas: Seed-stage investments
- Notable Investments: ZenBusiness, BuzzFeed, Warby Parker
What's Next for ZenBusiness?
ZenBusiness stands at the cusp of significant growth opportunities, driven by its recent $200 million Series C funding. The company aims to expand its fintech capabilities, offering tools like expense categorization, invoicing, and tax filing. With Mark Cuban as an advocate, ZenBusiness is poised to enhance its brand recognition and market penetration, potentially reaching millions of new users.
Future fundraising opportunities appear promising, given the strong backing from investors like Oak HC/FT and SoftBank Vision Fund 2. As ZenBusiness continues to grow, additional funding rounds could support further product development and market expansion. However, the company may face challenges such as competition from other fintech platforms and the need to maintain high customer satisfaction amid rapid growth.
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