With $3MM in Pre-Seed Funding, Fondo Scales Up to Help Startups with Accounting and Taxes
SAN FRANCISCO, CA– San Francisco-based startup Fondo has raised $3MM in pre-seed funding. Fondo, whose accounting platform streamlines tax compliance and bookkeeping for early-stage startups, received an impressive $1.8MM in non-dilutive financing from Capchase and another $1.2MM in equity from Y Combinator, GMO Venture Partners, Liquid2 Ventures, and Transmedia Capital. CEO & Founder David Phillips states that with the financing, Fondo will implement its expansion program, with the ultimate goal of providing an all-in-one accounting platform for startup founders across the United States.
Phillips is passionate about helping early-stage founders have the tools they need to easily get their taxes filed, remain compliant, and capitalize on any tax credits they may be eligible for.
“We started Fondo because we wanted to make it a lot easier for founders to do their taxes right the first time and even get cash back from the IRS,” he explains. “We decided to raise funding so that we could optimize our ability to help more startups with their taxes and bookkeeping.”
Fondo’s easy-to-use dashboard allows any founder, regardless of their accounting background, to stay tax compliant. It plugs into a company’s banking and bookkeeping system and enables owners to get their financial statements, taxes filed, and maximize cash-back tax credits.
“Tech startups are eligible for up to $500,000/year in cash-back tax credits,” says Phillips, “so we want to do everything we can to reduce how much money is left on the table. With Fondo, the average startup gets back $21,000 per year.”
In 2023, Fondo will focus on empowering startup founders to extend their runways and push forward in a challenging business climate.
Fondo is a San Francisco-based startup that was founded in 2020 by CEO David J. Phillips and serves as an all-in-one accounting platform. Fondo specializes in helping early-stage companies get their taxes filed, books closed, and cash back from the IRS. Fondo was ranked number one in the fintech category on Product Hunt for August 2022 and secured over $3.5MM in cash back from the IRS in Q4 2022 for its customers. In 2022, Fondo experienced top decile growth, including doubling its team to 54 people and nearly tripling its annual recurring revenue to $3MM. Today, more than 500 startups use Fondo.
For more information about Fondo, please see its website or contact:
Dylan S. Phillips, Fondo