B2B leader fuels disruption of traditional accounts payable industry and e-payment adoption
AvidXchange, the leading provider of accounts payable (AP) and payment automation solutions for the middle market, announced it has raised an additional $128 million in equity capital. This latest financing effort was oversubscribed with a total of more than $388 million raised and includes AvidXchange’s previously announced closing of $260 million in equity financing earlier this year. Contributing investors represent a diverse cohort of the foremost capital management firms, including Lone Pine Capital, Schonfeld Strategic Advisors, Pivot Investment Partners, Mastercard, Sixth Street Partners and Neuberger Berman on behalf of clients.
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AvidXchange will use the new capital to support strategic growth initiatives and continued innovation, helping both buyers and suppliers automate their AP and payments processes. The company’s rapid growth has been fueled by the adoption of its leading AP automation solution, a single SaaS based platform that allows businesses to gain efficiency and visibility into payments by eliminating the paper invoice and paper check. The solution also offers multiple e-payment options through the AvidPay Network of more than 600,000 suppliers, the largest payments network for the middle market.
“With only 40 percent of U.S. businesses automating their accounts payable processes, we continue to solve a real problem for companies that still rely on paper invoices and checks, fundamentally changing the way they pay their bills” said Michael Praeger, Co-Founder and Chief Executive Officer at AvidXchange. “This has become even more evident as we see businesses implementing continuity plans and shifting to work from home models, making automation essential to support mission critical processes and keep operations running.”
AvidXchange solutions manage the full invoice to payment process so businesses can receive invoices and pay bills at any time, from any location. With a dedicated supplier services team, AvidXchange also removes the burden of manual payment tasks from internal AP functions, taking on the responsibility of payment fulfillment and maintaining relationships with suppliers so customers can focus on more strategic initiatives.
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