New York City, NY: Hyphenate has raised $45 million in Series A funding following 86x revenue growth in 12 months, as CFOs increasingly adopt autonomous finance to automate routine accounting and finance operations.
The New York City-based autonomous finance platform for the office of the CFO announced that the Series A was led by Nexus Venture Partners, with participation from B Capital and existing investors including Foundation Capital, BoldCap and Gaia Ventures.
The latest funding brings Hyphenate’s total funding to $54 million. The company said its customer base has grown 11x in the past 12 months and now includes six public companies. Its self-learning agents currently handle 90% of routine finance work across the platform.
Hyphenate said its customers are using agents to reconcile cash, process sales orders, run invoicing, maintain subledgers and move the financial close forward, with finance teams stepping in where human judgment is required.
The Series A comes less than a month after Maximor rebranded as Hyphenate, as customers expand their use of the platform across the office of the CFO.
The company plans to use the new capital to expand its agents deeper into the finance function and strategic finance.
“Every finance team carries a long list of work it does because somebody has to,” said Ramnandan Krishnamurthy, co-founder and CEO of Hyphenate.
“Our customers are watching that list shrink in production. Once a team sees the system handle one workflow to an auditor’s standard, they hand it the next one. That is the pattern this company is built around, and this round lets us run it across the whole function.”
Hyphenate grows 86x in 12 months
Hyphenate raised $9 million in seed funding one year ago to remove repetitive work from finance teams.
Since then, the company has surpassed multi-million-dollar annual recurring revenue (ARR), while its agents have taken on work across hundreds of entities, thousands of bank accounts and millions of transactions every day.
According to the company, customers report 90% less repetitive finance work and 75% fewer audit exceptions.
Hyphenate said 40% of customers expand their usage within their first year, with several increasing usage by two to three times. The average customer now runs six modules.
The company said this expansion reflects how businesses are handing larger parts of finance to its autonomous finance platform after the system proves itself in an individual workflow.
Hyphenate’s autonomous finance platform in production
The expansion of Hyphenate is visible across companies where finance errors can have significant consequences.
Mini Melts USA, a consumer goods company, uses Hyphenate agents on top of its SAP environment for orders, invoicing and refunds. Within three months of going live, the company was getting back 16,640 hours of finance work annually.
HiBid, one of the largest online auction platforms in North America, has processed more than $2.5 billion in gross merchandise volume (GMV) through full order-to-cash automation on Hyphenate.
Invoicing, collections and cash application across that volume now operate as a single continuous process, while HiBid has reduced its month-end close from three weeks to one day.
Groupon, the Nasdaq-listed marketplace, is replacing legacy and home-grown systems with Hyphenate across treasury, order-to-cash and more than a dozen subledger processes.
“As a public company, we run finance at a scale where every number has to stand up to scrutiny: millions of transactions, multiple currencies and markets, and auditors who need the evidence behind all of it. We’re replacing legacy and home-grown tools with Hyphenate because it’s built for that bar, and we see it becoming the AI foundation for our entire finance organization,” said Rana Kashyap, CFO of Groupon.
Synthesia, the AI video platform, is deploying Hyphenate across its finance function.
“As an AI company, we expect our own operations to run on AI. The breadth of the Hyphenate platform has improved every functional area of our accounting and finance operations. We replaced point solutions with an autonomous finance platform that understands our business. Now the team focuses on exceptions and analysis, which helps make decisions faster,” said Daniel Kim, CFO of Synthesia.
How Hyphenate works
Hyphenate sits on top of the ERP, banks and other systems already used by a company and connects them through a shared finance context. Companies retain their existing systems of record while gaining a layer that can act across them.
The Hyphenate platform’s agents work across five areas of finance: order-to-cash, treasury, GL accounting, procure-to-pay, and reporting and insights.
These areas cover revenue recognition, invoicing, collections, cash reconciliation, accruals, subledgers, accounts payable, financial close and board reporting.
A key feature of Hyphenate is its self-learning capability. Rather than relying on forward-deployed engineers to build bespoke agents for individual customers, the platform trains on a company’s historical spreadsheets, emails and system logs.
It then replays previous months to identify edge cases that traditional software may not have handled, including the institutional knowledge that has historically kept finance processes manual.
As the system operates, it learns from previous decisions. An exception resolved during one financial close becomes a precedent for the next, while a policy decision made once can be applied whenever the same situation occurs.
Each action carries its evidence, allowing the output to be audit-ready by default. Over time, the share of routine finance work handled autonomously increases, while finance leaders can focus on decisions requiring judgment.
Trust threshold for autonomous finance
Finance has been among the more challenging functions for AI to enter autonomously. Research commissioned by Hyphenate earlier this year found that 96% of CFOs considered freeing teams for strategic work AI’s biggest benefit, while only 14% completely trusted AI to independently produce accurate accounting data.
The research also found that 97% of CFOs said human oversight was critical.
Hyphenate’s growth reflects a model in which autonomy does not mean giving an AI system unrestricted control. Instead, the platform takes responsibility within defined boundaries, maintains evidence for its actions and involves humans when judgment is required.
“What makes Hyphenate compelling is that autonomy is already showing up in customer operations,” said Abhishek Sharma, Managing Director at Nexus Venture Partners.
“Finance has an unusually high bar for accuracy, controls and auditability. Hyphenate has built around that bar from the beginning, and the expansion we are seeing inside customers shows what becomes possible once the system earns the right to take on more work.”
Hyphenate plans deeper expansion across finance
The $45 million Series A gives Hyphenate additional capital to accelerate the expansion of its agents across the finance function.
The company plans to take its autonomous finance agents deeper into different areas of finance, with the goal of enabling finance operations to run continuously with evidence attached to every action.
Hyphenate said this would allow finance teams to focus more on decisions that move the business, while the platform executes the underlying work.
The company also sees its ability to execute finance work as a foundation for building a live, verified picture of how money moves through a business, which it expects to support forecasting and capital decisions made by CFOs.
Also Read: Maximor Rebrands as Hyphenate After 86x YoY Revenue Growth, Expanding Across the Office of the CFO
