Bags has secured a $2.75 million investment round led by Ford Foundation, with participation from Partnership Fund for New York City, Zeal Capital Partners, Slauson & Co, Limited Ventures, and Blueprint FTC.
This raise brings the company’s total capital raised to $7 million and supports the expansion of its AI-enabled financial review and bookkeeping platform for small businesses across the United States. The company was founded in 2020 by Daniel Taylor, William Hayden, and Ignacio Semerene and focuses on helping small companies to strengthen their financial operations, improve access to credit, and accelerate growth.
The company reports that many small businesses struggle with missed expenses, disorganized transactions, and incomplete documentation, issues that can limit their access to financing or reduce their valuation during acquisition processes. Bags pairs AI-driven analysis with human expertise and CFO-level reporting to help small businesses clean up and interpret their books more effectively. The company states that many businesses are strong operationally, but their financials often fail to reflect their actual performance.
According to Bags, businesses using the platform grow an average of 250 percent year over year, are 4.5 times more likely to get funded, and secure financing 5 times faster than the national average. Through its financial review tools, reporting services, and access to more than $10 billion in available credit from lending partners, the company aims to remove barriers that prevent small businesses from scaling.
The new capital will be used to enhance the company’s product capabilities and expand its partnerships with mission-driven lenders and Community Development Financial Institutions. Bags recently partnered with TruFund Financial Services and plans to support additional pilots with CDFIs and MDIs in 2026 to improve borrower preparation, packaging, funding, and post-loan support through real-time financial insights.
Bags aims to build a future in which small businesses have clean, accurate books, clarity about their financial position, and improved access to growth capital.
KEY QUOTES:
“We’re changing the way small businesses think about money. By combining AI financial reviews, CFO level reporting, and access to over $10 billion in available credit, we help entrepreneurs become stronger operators and grow their businesses with confidence.”
Daniel Taylor, CEO, Bags
“Well-informed financial management is the key to making prudent decisions and unlocking access to growth-enabling credit for small businesses. We’re pleased to support the Bags team as they expand their impact across the U.S.”
Roy Swan, Ford Foundation
“By equipping small businesses with better financial management tools, guidance and access to debt capital, Bags is helping a critical part of our economy remain competitive and financially resilient. A New York-based company themselves, Bags is a great example of applying new technology to solve real problems that serve the public interest.”
Maria Gotsch, President and CEO, Partnership Fund for New York City
