- Ramp recently announced that it has raised $750 million in funding at a valuation of $8.1 billion. These are the details.
Ramp — the finance automation platform and first business card designed to help businesses spend less — recently announced $750 million in new funding, bringing its valuation to $8.1 billion. The fundraising included $200 million in new equity led by Founders Fund, with participation from all major existing investors including D1 Capital Partners, Thrive Capital, Redpoint Ventures, Coatue Management, Iconiq, Altimeter, Stripe, Lux Capital , Vista Public Strategies, Spark Capital, and Definition Capital. They were joined by new investors, General Catalyst, Avenir Growth Capital, 137 Ventures and Declaration Partners, as well as technology industry leaders. Plus Ramp also secured $550 million in debt financing to support the company’s rapid scale, including $300 million from Citi and an additional $150 million from Goldman Sachs, which doubled its $300 million commitment.
Essentially, Ramp empowers a wide range of customers and industries, from fast-growing startups to multi-billion dollar companies and multi-generational potato growers, to manage their expenses and build sustainable businesses. And with over 5,000 businesses on the platform, Ramp has seen nearly 10x revenue growth in 2021 and generates over $5 billion in annualized payment volume. Plus Ramp also continued to enhance its platform with the launch of B2B payment tool Bill Pay, its fastest growing solution to date, the integration of Buyer to provide Trading as a Service and the launch of Ramp for Travel.
Customers use Ramp as their leading expense management solution to fully automate non-payroll expenses and streamline their financial operations, from employee expenses to managing travel, purchasing, bill payments, and more. And the additional funding will accelerate Ramp’s development of its finance automation platform, following the recent release of a travel product and features that fully automate expense management.
To support strong product and customer growth, Ramp has quadrupled its workforce over the past year and they will open a new office in the emerging technology hub of Miami later this year. And Ramp also recently announced a collaboration with Amazon Business to streamline business purchasing through Ramp’s receipt matching integration and spend controls from both companies. This follows the introduction of Ramp for Travel in partnership with Lyft, WeWork and other major travel providers.
“We are pursuing an extraordinary opportunity to restructure an industry that has historically been misaligned and disconnected from the needs of its customers. From day one, Ramp was designed to save our customers time and money, which fuels our rapid growth. To date, we have achieved over $135 million in savings for our customers. We help businesses close accounts in eight hours instead of the industry median of eight days, freeing up 3.5 million hours of manual labor. None of our competitors can say the same. With this funding, we will continue to help even more businesses manage their money easier, faster and smarter.
— Eric Glyman, Co-Founder and CEO, Ramp
“One of our key differentiators at Founders Fund is the drive to double, triple, quadruple when a company performs at the highest level. Especially in volatile times like today, top CFOs look to make the most of every dollar and every hour, and Ramp is the best tool in the market to do that.They also successfully transitioned from a one-product company to a financial automation platform.This second act has enormous upside potential.Ramp frees finance teams from outdated processes and allows them to focus not only on financing growth, but also on accelerating it.
— Keith Rabois, General Partner, Founders Fund