Railz, an API developer providing financial institutions and fintechs real-time access to their customers’ accounting data, has secured a $12m series A funding round.
Led by Nyca Partners, the investment round was also joined by Susa Ventures, Vestigo Ventures, Entrée Capital Global, Plug and Play Ventures, N49P, and Hack VC.
The funding will be used to build the group’s sales and engineering teams, and adds to a previous $3.1m seed round closed in 2020.
Sohaib Zahid, CEO at Railz, said: “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.”
The group works with firms looking for more accurate financial data to use for building financial applications within lending, audit, cashflow, and trade finance verticals.
Jeremy Solomon, partner at Nyca Partners, said: “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.”