- Railz, the developer of an API that enables financial institutions and fintechs real-time access to their customers’ accounting data, announced recently that it raised $12 million
Railz — the developer of an API that enables financial institutions and fintechs real-time access to their customers’ accounting data — recently announced that it has raised $12 million in a Series A round of funding. This is on top of a $3.1 million seed round of funding that closed at the end of 2020.
This funding round will enable Railz to expand their efforts by continuing to build out their sales and engineering teams. And the most recent funding round was led by Nyca Partners, with participation from Susa Ventures, Vestigo Ventures, Entrée Capital Global Founders Capital, Plug and Play Ventures, N49P, and Hack VC.
Railz is providing a single API that integrates with all major accounting platforms used by small businesses — which enables on-demand access to financial transactions, analytics, insights and reports. This Data-as-a-Service solution offers a quick and low cost and direct access to small business customers’ accounting data and can be up and running in a matter of hours. Plus Railz solves a universal challenge in the large SME market segment by providing an API-based platform to financial innovators, enabling them to better service their customers.
Railz’s primary customers are fintechs, major U.S. banks, and wealth management firms looking for more accurate financial data to use for building financial applications within lending, audit, cashflow, and trade finance verticals. And by having up the minute accounting data fed directly into their decision-making systems, financial institutions can make more informed and timely decisions.
KEY QUOTES:
“While there are many players who focus on collecting data across various accounting packages, the challenge of understanding what the data actually means, and how to categorize it, continues to be a major hurdle for the users of this information. Railz’s data normalization solution, coupled with our insights and analytics engine, is the secret sauce that can address this challenge – and tackle it more accurately and quickly than any other service offering in market.”
— Sohaib Zahid, CEO of Railz
“We couldn’t be more excited about being part of the team at Railz. Businesses use accounting software as a single source of truth to record the financial health of their company. Sharing this data with another party is currently a manual process that is slow, expensive, and error-prone.”
— Jeremy Solomon, Partner at Nyca Partners, who is joining the board
