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Sales tax automation startup Kintsugi doubled its valuation this year | TechCrunch

Nov 14, 2024 - techcrunch.com
Kintsugi, a San Francisco-based company, is using AI technology to automate the calculation and filing of sales tax for e-commerce businesses. The company's system connects to a company's billing and payment systems, determines in which states they are liable to pay sales tax, and registers users in the correct states. The system then calculates and remits what a company owes in sales tax to keep them in compliance. Kintsugi raised a $6 million Series A round earlier this year, and has since reopened its Series A round, raising an additional $4 million and doubling its valuation to $80 million.

The company was founded in 2022 and launched its website in August 2023. Since then, Kintsugi has grown its customer base to over 1,100 users and earned $1 million in revenue. The company allows potential customers to sign up for free and test out their service. If they choose to proceed, they can pay $100 per tax filing or create a custom plan. Kintsugi plans to use its new capital to expand its technology and prepare for expansion into Canada and Europe.

Key takeaways:

  • Kintsugi, a San Francisco-based company, uses AI technology to automate the calculation and filing of sales tax for companies, helping them to stay in compliance with different state laws.
  • The company raised a $6 million Series A round earlier this year, and has since reopened its Series A round, taking on an additional $4 million in capital, doubling its valuation to $80 million.
  • Kintsugi was formally founded in 2022 and has grown its customer base to more than 1,100 users in the past year, earning $1 million in revenue.
  • The company plans to use its new capital to expand its technology and prepare for expansion into Canada and Europe.
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