Right place, right time: Accounting startup Karbon has raised $7 million to capitalise on a gap in the Australian market

Off the back of a $7 million capital raise, accounting startup Karbon says it’s poised to capitalise on the collapse of MYOB’s planned acquisition of Reckon’s accounting business, but founder Stuart McLeod says its simply a case of right-place-right-time.

The startup, run by its Australian founder but based in San Francisco, aims to disrupt the accounting space with its cloud-based Software-as-a-Service product in a space that is largely dominated by desktop solutions.

This latest funding round was led by Australian venture capital firm Blackbird Ventures, and also included notes converted from previous funding rounds, and investment from Karbon executives.

But, McLeod tells StartupSmart, the funds will be directed towards investing in the product, and capitalising on the collapse of talks about MYOB acquiring Reckon’s accounting business, APS.

“There are a lot of Reckon customers that will go into a serious purchasing decision, and are likely to choose another solution,” McLeod predicts. Read more

Stephanie Palmer-Derrien - Smart Company - 22 June 2018