Bill.com is targeted towards small and medium sized businesses, their accountants and bookkeepers, to help them send, receive, route, pay and store bills. The company recently changed its name from CashView.
All financial related information can be easily viewed online and can be used by those who need access to it. It also helps increase the productivity of a business through automated AP routing and tracking thereby saving a company time for daily financial transactions. They also provide financial protection from check fraud. Their mission is to be ‘the simplest way businesses do their everyday financial stuff.’
Based in Palo Alto, California, Bill.com was founded by Rene Lacerte (founder of PayCycle), in 2006. He has an established track record of designing systems to address key business processes targeting the SME market. The company received $2.1 million in a series A round led by DCM – Doll Capital Management. Later in September 2007, in a series B round, Bill.com received $6.5 million of venture capital.
Initially free, since 2008, Bill.com has begun charging customers a monthly price of $10 per user plus $1 per transaction. In an article on VentureBeat, a research report from the Aberdeen Group states that the average amount a company spends to process a single invoice is $3 to $34 mostly incurred from human processing.
In an interview series with Lacerte last year, we discussed some of Bill.com’s challenges and storage came up as one of the biggest ones. To be able to maintain all the documents, secure storage will be of topmost priority and for that capital is required.
An article in PCWorld discusses the enhancements to the services already offered through bill.com. The Accounts Payable side is fully up and running, but the accounts receivable service cannot currently collect money from customers.
During our interview, Lacerte said the exit strategy for Bill.com is not to be bought out by Salesforce or a similar company, but rather to build a lasting business.
This segment is a part in the series : Deal Radar 2008