FreshBooks Raises $30 Million and Plans to Hire 250 More Employees by 2016

FreshBooks has raised US $30 million round in its first institutional investment round.

The round, led by Oak Investment Partners with participation from Atlas Venture and Georgian Partners, will position the company for "increased growth as it helps freelancers and service-based businesses successfully build their businesses without having to learn accounting."

"FreshBooks is growing the cloud accounting software market by delivering a solution that is designed for the millions of small business owners that want to run their businesses without having to learn accounting," said Ann Lamont, Managing Partner, Oak Investment Partners.

"Given our focus on high-growth financial services technology, partnering with FreshBooks is a natural fit. We look forward to helping FreshBooks realize their vision of building the market-leading accounting solution built exclusively for small service-based business owners.” 

RELATED: Mark MacLeod, the Startup CFO, Joins FreshBooks

According to today's press release, FreshBooks raised this round in order to accelerate traction - in the last two years they’ve more than doubled their user base to over 10 million - and build upon its extraordinary customer satisfaction ratings.

The company, which will grow from 150 people today to 400 employees by 2016, is currently hiring developers, product managers and marketing experts.

Mark MacLeod, the Startup CFO, joined FreshBooks in early 2013 and wrote today on his blog about FreshBooks' first venture round. MacLeod called it "the single largest transaction" he's been part of and called Georgian Partners "one of the best-kept secrets in Canadian VC".

MacLeod continued, "The founding partners have deep entrepreneurial backgrounds and the firm as a whole is building a brand and focus around applied analytics. Something that is increasingly relevant to scaling technology companies like ours".

Toronto, Ontario, Canada

In 2003, Mike McDerment, co-founder and CEO of FreshBooks, accidently saved over an invoice, snapped and decided to create a better way to manage his books and bill clients. Since then, FreshBooks has emerged as the #1 cloud accounting specialist for small business owners by helping more than 5 million people track time, organize expenses and invoice clients in the cloud. Known for... more

Georgian Partners
Toronto, Ontario, Canada

Georgian Partners is a growth equity firm investing in expansion and later stage enterprise software and information aggregation companies. Georgian Partners leverages its capital and its team of strong global operators to support the growth objectives of its investments. Georgian Partners is based in Toronto, Ontario. Georgian Partners. more

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Rob Lewis

Rob Lewis

Rob is the President of Techvibes Media and Editor-in-Chief of  His diverse background includes stints in International Trade Finance, Web Development, and Enterprise Software and he is a graduate of the University of British Columbia, British Columbia Institute of Technology, and Simon Fraser University. When not running Canada's leading technology media property, Rob can be... more

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