The funds will enable the company to open a new office in Australia, capitalise on the growth of the cash flow forecasting sector it created, and perfect its forecasting solution for the needs of modern accounting firms.

The deal follows the formation of a new C-Suite team last year and is the first time that Float has accepted venture capital investment.

Float specialises in a highly accurate cash flow forecasting and budgeting solution for small to medium-sized businesses and accounting firms.

With Float approaching profitability in 2019, the new funding was based on its revenue potential. It is seen as a means of accelerating Float’s growth so that it can take advantage of the burgeoning global market opportunity for financial planning and business insights, an industry that has expanded considerably in the last two years.

Colin Hewitt, Float co-founder and CEO

Float will open a new office in Sydney in January 2020, with the Aus/NZ market widely considered to be one of the most forward-thinking regions for Cloud accounting. The company is planning to make 12 new hires across its Sydney, global sales, product development, and marketing teams.

Float recently won the prestigious Accounting Excellence award for its cash flow forecasting product and will use the funds to continue improving its product, making it even more responsive to what modern accountants need.

Colin Hewitt, Float co-founder and CEO, said: “Offering accountants new ways to improve their advisory services helps them to add value and boost revenues. We’re excited to have found a great professional and cultural fit with Alan and Hugo at Marchmont. Their experience in building a highly successful and values-based company is unique in the investment community and was exactly what we were looking for. “

Alan Martin, managing director of Marchmont Ventures, added: “We are building an ecosystem of exciting growing companies like Float. We are keen to work with businesses aligned with our values, who are able to grow fast but in a way that’s sustainable in the long term too. In that regard, Float is a perfect fit. We were struck immediately by the global market opportunity for digital accounting services, cash flow in particular, and have been really impressed by the Float product, which their users genuinely love.”