Collective, a San Francisco, CA-based online back-office platform for solopreneurs, announced today that it raised $50 million in funding.
The investment was from a syndicate of investors, including Google’s AI fund, Gradient Ventures, Innovius Capital, The General Partnership, General Catalyst, QED, Expa, and Better Tomorrow Ventures.
The funding will support the launch of Collective’s new AI-driven financial management offering. With the funding, Collective plans to expand its range of AI tools and scale its operation to achieve double its original growth projection.
Collective offers services tailored to “businesses-of-one,” services including business formation, S-election, payroll, tax, and bookkeeping solutions.
The company claims its services have experienced significant growth in tandem with the booming freelance industry. Collective said that 39% of the U.S. workforce currently engages in freelance work, a number projected to surpass 50% by 2027.
By deploying AI technology across its operations, Collective aims to expedite its growth and onboard the nearly 100,000 businesses on its waitlist.
“The funding will be utilized to deepen our investment in our core platform, deliver new internal AI copilots, and update our member-facing applications. Moreover, we will continue to scale our operations to better serve our rapidly growing and evolving membership base,” Hooman Radfar, Collective’s CEO, told VentureBeat.
Collective’s platform offers company formation, full bookkeeping, payroll, and tax filing services. The company emphasizes its ability to tailor this stack specifically to the needs of solo business owners, providing end-to-end support, from formation to tax services.
Company: Collective Hub, Inc.
Raised: $50.0M
Round: Unknown
Funding Month: July 2023
Lead Investors: Google’s AI fund, Gradient Ventures, Innovius Capital, The General Partnership, General Catalyst, QED, Expa, and Better Tomorrow Ventures
Additional Investors:
Company Website: https://www.collective.com/
Software Category: Financial Solution
About the Company: Founded by Ugur Kaner, Bugra Akcay, and Hooman Radfar, Collective is an online concierge financial platform designed to give self-employed people the technology and team they need so they can focus on their passion, not their paperwork. Collective handles company formation, taxes, accounting, bookkeeping, and more. Collective is on a mission to redefine the way businesses of one work.
Source: https://venturebeat.com/ai/collective-raises-50m-launch-ai-powered-finance-platform-for-freelancers/