Expense software startup Divvy today announced that it has raised a $35 million round led by New York-based private equity and venture capital firm Insight Venture Partners. That brings the total amount of funding raised for the Lehi, Utah-based startup to $57 million.
The fresh injection of capital is notable given that Divvy launched its first product out of beta just six months ago. There aren’t many startups in Utah that have raised this amount of money so soon after launching. For reference, Podium, another Lehi-based B2B startup, raised a $32 million round after being in business for about three years.
Taking some cues from Venmo, Divvy has created an expense platform that allows employees to send a spending request to their boss and receive approval in real time via a mobile app or desktop platform. That eliminates the need for employees to submit an expense report at the end of the month. Divvy partners with Wex Bank to issue Divvy-branded Mastercards and makes money by taking a cut of the interchange fee generated after a transaction.
Divvy is calling its latest fundraise a series B round, but it comes two months after the company raised $10.5 million and six months after a $7 million raise, so it’s not following traditional series B timing.
Read More about Divvy’s latest round on VentureBeat