- Zip, established as Greenbax Inc., offers a cloud platform that assists businesses in making supplier purchases of goods and services.
- Zip claims that users of its platform can build automated workflows for seeking purchase approvals.
Zip, a startup owning the same-named cloud-based procurement platform, announced that it has raised USD 100 million in fresh capital.
The Series C round got funding from CRV, Y Combinator, and Tiger Global. Zip has a USD 1.5 billion market worth. This is an increase from the startup’s USD 1.2 billion valuation in May last year following a USD 43 million Series B financing.
Zip, established as Greenbax Inc., offers a cloud platform that assists businesses in making supplier purchases of goods and services. Significant purchases in the business may require a sizable number of stages. Zip’s platform streamlines the procedure to make procurement teams more productive.
The platform allows employees to request additional purchases through a form-based user interface. The user can enter relevant information, such as which vendors will be involved in the transaction and the needed new product or service. The platform then forwards the purchase request to the appropriate executive for review.
Several executives must frequently sign off on significant transactions. Zip claims that users of its platform can build automated workflows for seeking purchase approvals. Through a low-code interface that doesn’t require coding knowledge, users can construct such workflows.
Zip maintains information about a company’s supplier agreements in a centralized database for simple access. The software can automatically alert members of the procurement team when a contract is about to expire.
An analytics dashboard that displays the supplier data kept on Zip’s platform is also available to users. The company claims that its analytics features make tracking a business’s expenses easier. The platform can also be used to find ways to improve the effectiveness of a company’s procurement workflow.
Along with a new version of its platform, Zip announced a USD 100 million fundraising round. The latest version has extra features not found in the ordinary edition, such as tools that make paying suppliers more efficient. Another new application claims to automate the production of purchase orders, the paperwork that outlines the goods and prices that a business intends to purchase from suppliers.
Chief Executive Officer and Co-founder Rujul Zaparde said, “In a space that is notorious for providing tools that cause confusion, lack of adoption and costly deployment errors, we’ve built a holistic, consumer-style and enterprise-grade Intake-to-Pay platform.”
The startup claims that hundreds of businesses use its platform, including Snowflake Inc., Databricks Inc., and other significant software organizations. The money raised in this fresh round of fundraising will be used by Zip to increase the size of its installed base. It also aims to increase product acceptance among staff members at existing client organizations.
The company intends to launch new generative artificial intelligence tools as a part of the endeavor to increase user productivity. To support its expansion plans, Zip will also increase personnel numbers and establish a location in Dallas. The company now employs 250 people, a greater than fourfold increase in one year.