Singapore-based payments management company Spenmo has raised $34 million capital in a Series A investment round led by New York-based private equity and venture capital firm Insight Partners.
The fund was oversubscribed by a multiple of 5 and is the largest Series A round closed for a Y Combinator-backed company in Southeast Asia, Spenmo said in a statement on Wednesday.
Participants in the round include Lee Fixel’s Addition, Salesforce Ventures, Alpha JWC, Global Founders’ Capital, Broadhaven, Operator Partners, and Commerce Ventures.
“Our space has typically been thought of as a back-office function, but finance and accounts payables is a critical part of running a business,” said Spenmo Founder and Chief Executive Officer Mohandass Kalaichelvan. “Finance teams who implement our software gain back man-hours. On average, they save over 50 hours and $10,000 every month. Our goal is to give back 10 billion man-hours annually to finance teams across the region.”
Aside from the institutional funds, several high-prominent angel investors including William Hockey (Founder of Plaid), Andy Cohen (Ex-SVP of Sales, Bill.com), Ongki Kurniawan (Head of Stripe Indonesia), Kunal Bahl & Rohit Bansal (Founders of Snapdeal), Matt Doka (Founder of Fivestars) and John Kim (Founder of Sendbird) also participated.
Spenmo’s flagship products–smart corporate cards and automated bill payments–helps businesses and their finance teams to pay bills, track and categorize spend, and close their books on autopilot in 90 percent less time, the company said.
Funds from the Series A round will help Spenmo to build market share and gain access to the more than 20 million small and medium businesses (SMBs) and mid-market companies in Southeast Asia who largely do not use any software to manage their payables other than piecemeal solutions such as spreadsheets, or manpower, to close the gap.
Rebecca Liu-Doyle, principal at Insight Partners, is joining the Spenmo board of directors.
“The payments industry is ripe for disruption, especially in the untapped Southeast Asian market,” said Liu-Doyle.
Since its launch in Singapore last year, Spenmo has expanded across Southeast Asia, with customers who represent varied sectors, from high-growth startups to SMBs, mid-market companies, and accounting firms.
Spenmo is the go-to payments software for growing businesses. The company is building an end-to-end payables software that brings internal spend management, corporate cards, automated bill payments, approval workflows, and accounting reconciliation into an integrated view.
After completing the Y-Combinator program in 2020, Spenmo has since grown to over 60 employees and raised over $36 million in venture capital.
Insight Partners is a global venture capital and private equity firm investing in high-growth technology and software ScaleUp companies that are driving transformative change in their industries. Founded in 1995, Insight Partners has invested in more than 400 companies worldwide and has raised through a series of funds more than $30 billion in capital commitments.