Zip, the world’s only intake-to-pay platform, today announced its $100 million Series C funding round at a $1.5 billion post-money valuation, with investment from Y Combinator, CRV and Tiger Global.
This brings Zip’s total funding to $181 million with its prior seed, $25 million Series A and $43 million Series B rounds.
Today the company also announced its product launch of Zip Intake-to-Pay, extending its industry-first Intake-to-Procure platform for modern spend approvals to now provide Procure-to-Pay (P2P) capabilities. With new purchase order (PO) management, accounts payable (AP) automation and global B2B payments functionality, Zip provides a unified platform for the end-to-end procurement lifecycle.
The Zip Series C funding will allow the company to accelerate product and user experience innovations to increase employee adoption across its rapidly growing customer base, including new applications of generative AI that maximize efficiency and synthesize insights across the intake-to-pay process. Zip now boasts hundreds of customers globally including Snowflake, Coinbase, Northwestern Mutual, Canva, Webflow and Databricks—ranging from startups to Fortune 500 public companies.
“We continue to invest in Zip because we believe in this outstanding team’s ability to achieve their mission to solve a ubiquitous business problem: spend control,” said Garry Tan, president and CEO at Y Combinator. “Zip is one of YC’s most successful B2B companies from the last few years. We are thrilled to have been one of Zip’s earliest partners as they revolutionize one of the most critical functions in the enterprise.”
Taking into account that procurement starts at the point of intake, Zip Intake-to-Pay is the first procure-to-pay platform with built-in intake capabilities. With deep integrations across internal tech stacks, Zip gives customers the flexibility to choose how they would like to use Zip to fit in with their current procurement needs. Zip Intake-to-Pay users are already seeing significant benefits to their bottom line with nearly $1 billion per month being approved in Zip and $937 million in total savings tracked through the Zip platform to date.
“There are few enterprise software companies that build products for multiple stakeholders and users within large, fast-growing companies,” said Ali Rowghani, investor and board member. “The launch of Intake-to-Pay is further evidence of Zip’s groundbreaking innovation in this space. With the rapid expansion of their product in record time, Zip proves yet again that it is the central platform for end-to-end procurement.”
“Zip’s procurement platform gives us greater collaboration and visibility into spend while delivering a seamless experience for our employees,” said Joe Frederick, senior director, procurement and strategic sourcing at Snowflake. “We chose Zip for its world class visualization and an experience that requires no additional training for our team. The platform is highly customizable and gives us flexibility to make changes on the fly.”
Zip Expands to Support Rapid Company Growth
In the last year, Zip has grown from 60 to 250 employees to support its extensive customer and product growth. With the latest funding, the company plans to continue to invest in top talent across geographies. Zip will also expand its footprint with a new office in Dallas, Texas, adding to its existing headquarters in San Francisco and office in Toronto, Canada.
“Businesses are no longer able to turn a blind eye when it comes to controlling spend, operating efficiently, and mitigating risk. Our recent survey of finance and accounting professionals found that nearly half of organizations are looking to meaningfully reduce operating expenses this year, yet only 11% said that the majority of spend in their organization is under management, or PO-backed,” said Rujul Zaparde, co-founder and CEO of Zip. “It all starts with a renewed focus on employee adoption and end-user experience. In a space that is notorious for providing tools that cause confusion, lack of adoption and costly deployment errors, we’ve built a holistic, consumer-style and enterprise-grade Intake-to-Pay platform. It doesn’t require any training—and employees are excited to use it.”