CVentures, the Commercial International Bank’s venture capital (VC) arm, has made an investment in Countingup, the leading business banking and accounting app for small businesses, as part of a £4m bridge round of financing, raised by the London-based company, led by ING Ventures and a group of investors including TriplePoint and Big Star Ventures. The financing aims to back the company’s vision to be a financial hub for 1m small businesses across the UK.
In less than two years since launch in 2018, Countingup has more than 20,000 customers and has processed almost £1bn in transactions.
Countingup enables small businesses to open a Countingup current account including a full suite of accounting and banking features via their smartphone, in less than five minutes. Additionally, Countingup has recently launched the Accountant Hub, a web-based accounting system that helps accountants manage and collaborate with their SME clients in real-time.
“Countingup is a more automated and accurate alternative than traditional digital bookkeeping software or a shoebox of invoices and receipts. It’s ideal for sole traders and solves multiple pain points in one seamless solution,” said Tim Fouracre, Countingup’s Founder and CEO.
Countingup’s solution becomes even more relevant once HMRC’s Making Tax Digital (MTD) initiative is launched, as it requires businesses to keep digital records and submit quarterly tax filings. This round will be used to accelerate the banking and accounting roadmap to make it even easier and more efficient to digitally run a small business.
Fouracre added, “We’re thrilled to have ING Ventures and CVentures onboard. ING is a leading pan-European bank and CIB is Egypt’s largest private sector bank with prospective geographic expansion plans underway, all of which present meaningful opportunities for Countingup as we look to expand internationally in the coming years. Following this bridge round we will seek to do a larger funding round to accelerate growth once normality returns to society and the economy, post the COVID-19 pandemic.”
Countingup’s seamless solution reduces the costs and complexities associated with banking and accounting services for small businesses. This new approach makes it significantly easier for sole traders and micro enterprises to manage their accounts, and run their business.
Shady Tadross, Director at CVentures, said, “CVentures is excited at the prospect of working closely with Countingup, and we look forward to helping Tim and his team achieve their vision and grow into additional markets.”
Commenting on the impact of the coronavirus on small businesses, Fouracre said, “With government instructions to stay at home, the country is turning to digital solutions for everything from entertainment to shopping. If you want to start a business and open a bank account, you can’t go to your local branch right now. With digital offerings like Countingup, you don’t need to.”