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MineralTree, a Cambridge, Massachusetts-based provider of accounts payable and payment automation services, closed a $50 million equity investment to allow the company to add new capabilities to its “invoice-to-pay” system and more integrations with new accounting systems.
“We see increasing demand for AP Automation as more middle-market businesses recognize the critical importance of automating and optimizing their financial processes,” said Matt Vettel, a managing partner at Great Hill.
Revenue at MineralTree grew 80 percent in 2018 from the previous year as the company expanded its network of participating financial institutions to 28 and processed over $5 billion worth of payments. The workforce doubled.
MineralTree integrates into clients’ existing accounting systems. Its FlexPayproduct consolidates multiple payment types into a single electronic file for companies making 500 to 10,000 or more payments per month, automatically finding the most efficient payment method for each transaction. Online payment systems generally reduce processing costs, improve control over cash flow, mitigate fraud risk, and strengthen accounting controls.
The company says it expects growth to come among “middle-market” businesses. Clients include Attivio, the Hollywood Wax Museum, Lionel Trains, Mashable and The RealReal.
Peter Green is an award-winning business and investigative journalist based in New York.