Article

Avalara raises $100 Million in new financing round

by Linda Rosencrance
Contributing Writer, MSDW

Avalara Inc., a provider of provider of sales tax and compliance automation services in the cloud, has raised $100 million in a financing round from an affiliate of Warburg Pincus, a global private equity firm.

Avalara offers hundreds of pre-built connectors into accounting, ERP, ecommerce and other business applications, including Microsoft Dynamics ERP. The company's AvaTax connects with Dynamics GP, AX, and NAV to deliver a sales tax automation tool to automate sales tax compliance processes.

"This investment by Warburg Pincus will allow us to put more dollars to work in our growth initiatives," said Scott McFarlane, founder and CEO of Avalara, in a statement. "It also validates our fundamental belief that sales tax compliance automation is inevitable, and Avalara is at the forefront of this movement."

The investment will help the company's growth initiatives that include international expansion and strategic acquisitions, which will extend the company's tax content, product and service offerings, customer base, cross-selling opportunities, and geographic reach, according to company officials.

Including this investment by Warburg Pincus, Avalara has raised more than $200 million in capital since 2004 from a list of investors that includes Sageview Capital and Battery Ventures, as well as other entities and individuals, officials said.

Accounting Business Central Dynamics 365 Dynamics AX Dynamics GP Dynamics NAV Regulatory Compliance Tax Management
About Linda Rosencrance

Linda Rosencrance is a freelance writer/editor in the Boston area. Rosencrance has over 25 years experience as an reporter/investigative reporter, writing for many newspapers in the metropolitan Boston area. Rosencrance has been writing about information technology for the past 16 years.

She has covered a variety of IT subjects, including Microsoft Dynamics, mobile security issues such as data loss prevention, network management, secure mobile app development, privacy, cloud computing, BI, big data, analytics, HR, CRM, ERP, and enterprise IT.

Rosencrance is the author of six true crime books for Kensington Publishing Corp.

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