Accounts receivable automation firm YayPay has secured another round of venture capital funding, the company announced Wednesday (Dec. 12).
The firm secured $8.4 million in funding led by Information Venture Partners, while existing backers Birchmere, QED, Fifth Third Capital, Gaingels and 500 Fintech Fund also participated. Runway Venture Partners joined the funding as a new backer, YayPay added.
The company offers businesses a Software-as-a-Service solution to automate accounts receivable processes. Its technology integrates machine learning to analyze AR data and optimize collections to accelerate credit-to-cash cycles. According to YayPay, its user base has grown more than five-fold, with 480 users on the platform.
“YayPay is directly in line with our investment thesis regarding automation and the digitization of finance,” said Information Venture Partners Co-Founder and General Partner Robert Antoniades in a statement. “Using a FinTech solution to solve an analogue yet critical process such as collections is the lifeblood of any business.”
The investment follows last year’s $5.3 million investment round led by QED Investors. At the time, YayPay co-founder and CEO Anthony Venus said the company aims “to turn finance teams into revenue heroes by giving them workflow tools that finally match in robustness those used by their sales and marketing departments.”
Venus repeated the same statement in Wednesday’s release.
“Using modern software, powered by data science and machine learning, we are helping finance and accounts receivable teams hit their monthly credit and collections goals while driving costs lower,” he added. “We are developing predictive credit models and building a credit-to-cash workflow specifically designed for the modern accounts receivables team.”
YayPay said it will use the latest funding to focus on product development in data science, and to develop “advanced-level product features.” The firm also plans to expand its sales team, it said.
Earlier last year the company added forecasting functionality to its AR platform.