Agicap secures $48 million with its cash flow management platform

On average, Agicap clients manage 15 different bank accounts each. So the financial officers (CFOs) who work for these companies sometimes struggle to make sure that there will be enough money in the right bank account to pay employees and suppliers in all subsidiaries, countries and different currencies.

That’s why they also turn to Agicap to aggregate currency-related data and forecast future currency positions. The Lyon-based startup recently raised Series C funding of 45 million euros (about $48 million at current exchange rates) from one investor, AVP, the VC firm formerly known as Axa Venture Partners.

The fintech startup previously raised $100 million, back in 2021, amid a flurry of digital funding for the disease. At that time, the company reached a value of 415 million euros (or about 450 million dollars at current exchange rates). The value of the business has since increased “significantly”, according to Agicap, although the amount could not be disclosed.

“We are not disclosing the exact amount, but we have been able to increase it significantly since 2021,” founder and CEO Sébastien Beyet (pictured above) told TechCrunch. Pressed on this gave us an idea of ​​the new valuation: Les Échos previously reported that Agicap was raising between 700 million euros and 800 million euros (or $750 million to $860 million) – and Beyet said: “We are still holding on to this game.”

Narrow focus – ‘big’ market

Agicap’s relative success comes down to a narrow focus on wealth management software – it doesn’t try to do everything at once like many fintech startups.

It is also an untapped market as many companies still rely on Excel and export files from bank accounts and ERP software. Evidence of this is based on a recent survey conducted by Agicap with 500 European CFOs of medium-sized companies. When asked about their preferred tool for managing and forecasting their financial position, 80% of them answered Excel.

It is also worth noting that Agicap’s main customers are CFOs and finance departments. And if groups hold money as a product they won’t be delisting anytime soon.

Agicap customers can synchronize data from their existing bank accounts, credit institutions and ERP solutions. It then acts as a central repository to view everything related to past and future cash flows. But Agicap is not just a visual dashboard; users can initiate and schedule transfers directly from its interface, too.

“We think we will be able to use cash management as the basis of what we call the CFO suite, and provide additional tools for CFOs and treasurers,” said Beyet.

For that reason, recently, the startup has added accounts payable and accounts receivable. These features help you get paid faster as you can see pending invoices and cancel customers in case they arrive late. Similarly, Agicap imports purchase orders so you can pay suppliers on time and use that data for your future budgets.

The startup currently has 8,000 customers, almost half of them in France. Most of its remaining customers are spread across other European countries. “We focus on medium-sized companies, with annual revenues of €5 million to €10 million on average – and up to €500 million,” said Beyet.

“We have already reached the point of exchange on a cash basis this quarter. So we didn’t need to raise more money to continue our development. But we believe that our market is big,” he added.

In addition to recruiting new people to acquire new customers, Agicap plans to use this funding to introduce new features in credit management and foreign exchange risk management.

What about offering direct credit products? “We don’t want to be a bank,” said Beyet. “In other words, we don’t want to take the financial risk of borrowing money ourselves. We know how to make software, and that’s what we intend to focus on.”