Brazil’s largest cloud-based management platform (ERP) completes its biggest funding round to date:
Omie, Brazil’s leading SMB financial management SaaS platform, raised a BRL 580 million Series C round of funding led by SoftBank Latin America Fund. The growth investor has joined other leading technology investors Riverwood Capital and Astella as part of Omie’s shareholder base. With the fresh capital injection, a leading product, 950 employees, 70,000 customers and a growth of over 70% in 2020, Omie is well on its way towards further consolidating its position in the market as the Operating System for SMBs.
The Series C round also had participation from Riverwood Capital and new investors representing some of the most important crossover investors in the Brazilian public markets, including Dynamo, VELT, Bogari Capital, Hix Capital and Brasil Capital. The capital will be used to expand existing distribution channels, for continued product development, and to increase the Company’s offering of financial services to SMBs. Brazil’s largest bank Itaú recently signed an agreement with Omie to distribute a co-branded design of its platform to Itaú’s more than 1.5 million corporate customers.
“One of our goals will be to reinforce outreach to SMBs and more clearly communicate the benefits of greater visibility, automation and organization that our digital platform provides to their business,” says Marcelo Lombardo, CEO & Founder of Omie. “This process has already been done through partnerships with accounting firms, as accountants play a decisive role in the modernization of Brazilian SMBs and are increasingly important in the entrepreneurial scene.”
With the investment, Omie doubles down on its participation in the war that is taking place between the “neobanks” on the hunt for SMEs. Last year, Omie converged management systems and financial services via its embedded financial services product Omie.Cash, a digital checking account native within the ERP. “We believe that Omie is very well positioned to revolutionize the management software business, offering innovative solutions for companies of all sizes. With a talented and experienced team, Omie has a lot of potential to grow and offer new services to a huge and rapidly changing market,” says Carlos Medeiros, SoftBank SBLA Advisers Corp. Partner.
Omie expects to deepen its financial services offering in credit, cash management and collections, with the advantage of 100% native integration into its management software.
Omie’s path to the Series C
Since its founding in 2013, Omie has raised just over BRL 110 million in previous rounds. The most relevant events were the Series A round in 2018, led by Astella Investimentos, a fund that attracted other investors such as G5 and Spectra, and a Series B round in 2019, led by Riverwood Capital, a global fund with a strong presence in Latin America that has invested in and scaled leading companies such as VTEX, Conductor and 99.
With a solution that is simultaneously robust and simple to use, Omie expanded its market strategy at the begining of the panedmic to also seek clients with revenues of up to BRL 200 million. “This market was exclusively dominated by suppliers with legacy technologies and no cloud connectivity. What we do is disruptive, since we offer far superior service at a fraction of the cost of these older providers. It’s an transformative move,” says Aurora Suh, CRO at Omie.
Founded in 2013 by Marcelo Lombardo and Rafael Olmos, with the purpose of bringing prosperity to any business, offering an innovative, complete and unlimited management system. The Scaleup company is based on three pillars: management through software; education, with Omie Academy, the company’s educational arm that provides continuous professional training to entrepreneurs free of charge; and finance, with access to financial services with a digital account within the platform and collections via bank slip and instant payment systems such as PIX, with much lower costs, in addition to credit lines and solutions to support the management of small and medium-sized companies, such as Itaú Meu Negócio Gestão by Omie, a product in partnership with Itaú Bank which integrates the management and financial systems. Finally, its regional performance with the Franchise Network makes it the only company in the segment to be among the 100 fastest growing companies in the country, according to the Deloitte ranking, debuting in third place.