Canopy, a US-based developer of business management software for tax and accounting practices, has completed a $30m financing round featuring Wells Fargo Strategic Capital, a subsidiary of bank Wells Fargo.
New Enterprise Associates (NEA) led the round, which included fellow venture capital firms Epic Ventures and Pelion Ventures as well as growth equity fund University Growth Fund. It increased the company’s overall funding to $60m.
Founded in 2014, Canopy has created a cloud-based platform that helps accountants and tax experts run all aspects of their practices including documents and contacts, in addition to streamlining the tax resolution process by cutting paperwork.
Matthew Raubacher, Wells Fargo Strategic Capital’s managing director, said: “The need for greater digitisation and automation, to reduce the workload on tax professionals, is overdue in this industry.
“We are pleased to now be equity investors in Canopy as they help modernise the way tax professionals operate their practices and interact with their clients.”
NEA led the company’s $2m seed round in 2014, investing alongside Deep Fork Capital and Epic Ventures. All three returned for an $8m series A the following year and a $20m series B round led by Pelion Venture Partners in March 2017.