Collective plans to use the funding to scale its business and team to better serve self-employed creators. Here are the top-line bullets you need to know.
Collective, an online financial platform for the self-employed, has raised $20M in a Series A. The round drew participation from General Catalyst, Sound Ventures, Expa, QED Investors, and Gradient Ventures, among others.
How’s the company performing?
- California-based Collective is an all-in-one financial platform for self-employed creators that provides company incorporation, accounting, bookkeeping, and tax services.
- Collective has seen revenue swell by 250% after its September 2020 launch.
- The company saves members an average of over $16,000 annually in taxes using its services.
- The company has around 30 employees and plans to double its headcount.
Why does the market matter?
- The global accounting software market is projected to grow at a CAGR of 8.5% and reach a value of $19.59B by 2026, according to Mordor Intelligence.
- The market is witnessing an increased adoption of cloud-based accounting and tax compliance software across small businesses looking to leverage its cost-effectiveness and convenience.
- Increasing demand for tools that serve the creator economy are driving the industry’s growth.