Financial admin super platform Osome, founded by banking mastermind Victor Lysenko, has snared $25m investment from Asian, European and US investors.
The company helps small businesses set up through a single simple platform with easy to use software and an expert accountant to take care of financial admin.
The announcement caps off a record year for the company which has seen its UK customer base increase 3.5x, with plans to expand its London team in 2023 as the UK turns to side hustles and micro-businesses to power economic growth. The company has also seen revenues double since its previous raise and plans to expand its Asia operations.
This year the company launched a comprehensive accounting platform to complement its accountant offer and also celebrates doubling customers since its last raise in 2021, having now helped open 11,000 businesses.
Founder Victor Lysenko attributes the company’s stellar growth to two factors: the size of the market and a unique product approach:
“Small businesses spend billions of dollars on accounting, but accounting software doesn’t give them what they need - expert advice. Only 2% of this spend is on accounting software - I’m interested in improving the 98% - the most exciting opportunity is on the human side.
“Our plan is to be the largest provider of hybrid accounting services in the world. Osome’s ‘Accounting Factory’ approach uses state-of-the-art machine learning to make our accountants three times more efficient. We’ll triple that next year,” Lysenko adds.
“Osome is the go-to platform for businesses from start-up to scale up. Our Series B raise is validation of this, putting us on course to help 1 million small businesses grow.”
“My promise to small businesses is: ditch your complex tech stack and accountant, and come to Osome. Our super platform frees you up to focus on growing your business - from hassle free set up to your first tax filing. Stop using complicated software built for accountants - the era of Xero is over.”
The announcement follows turbulent times in the sector, with peers from Xero to Pleo pursuing mass layoffs and financiers reluctant to invest given global economic uncertainty.
“Our approach has always been to become profitable based on sound, sustainable financial growth. I’m much more of a fan of the sturdy baseball bat than the hockey stick.”
Osome is a single platform automating small business financial admin, paired with an expert accountant for growth advice.
Ivan Ong, Principal at Osome investor AFG Partners comments: “Osome is addressing a central issue in back office management for entrepreneurs and SMEs globally, and in a short time has positioned itself as a market leader in a space that has significant growth potential. We are very pleased to participate in this round and be joined by other seasoned technology investors as we support Osome on its growth path.”
Luca Zorzino, Investment Direct at Illuminate Financial Management adds: “We are delighted to partner with Victor and the team at Osome as they build out their European & US presence. As a global investor backed by large financial institutions, we see a tremendous opportunity in bringing digitisation to incorporation and accounting services to these new geographies. We’re excited to back such an all-star team that has demonstrated they can already win in key markets in APAC.”
The company’s $25m Series B announcement comes as Singaporean banking giant OCBC launches a new “seamless digital banking” partnership with Osome to give businesses a one-stop shop for their financial needs.