Financial technology company Ramp has raised $1.85bn in a funding round that values the business at $60bn, as the company expands its artificial intelligence offerings and grows its corporate finance platform.
The funding round was led by Dragoneer Investment Group, with Thrive Capital, Founders Fund, Sands Capital and Avenir Growth also co-leading the investment. The latest valuation marks an increase from $44bn in June, when Ramp raised $750m in a previous funding round.
Founded in 2019 and headquartered in New York, Ramp provides corporate cards and expense management software to businesses. Its platform has expanded to include a wider range of financial tools, helping companies manage payments, procurement, accounting and spending.
Ramp now serves more than 85,000 companies, which collectively account for over $275bn in annualised purchase volume. This represents an increase of 175% compared with the previous year, reflecting growing demand for its financial management services.
The company also reported annualised revenue of more than $2bn and positive cash flow. Its latest funding round brings total equity financing raised by Ramp to approximately $5bn.
The investment comes as financial technology companies increasingly incorporate artificial intelligence into products designed to automate business operations and improve efficiency. Ramp has been expanding its AI capabilities, including tools that help businesses monitor spending on AI services and manage the costs associated with running AI models.
The company has also introduced AI-powered tools across its procurement, expense management, accounting and budgeting products, with the aim of helping finance teams automate routine tasks and gain greater visibility over business expenditure.
Ramp’s expansion has brought it into competition with a wider range of financial and business software providers. This includes Rippling, which offers human resources and payroll software alongside corporate cards, expense management and bill payment services.
The overlap between the two companies reflects growing competition among software providers seeking to offer businesses a broader range of financial and operational services through a single platform.
Christian Jensen, a partner at Dragoneer Investment Group, said: “In just a few years, Ramp has become a much broader financial operations platform, with AI deeply embedded in how the company builds and operates. We believe Ramp is well on its way to becoming one of the defining companies of this era.”
Other investors participating in the latest funding round include Fidelity Management & Research Company, T. Rowe Price, GIC, Coatue, ICONIQ, General Catalyst and Lightspeed Venture Partners.
The funding will support Ramp’s continued expansion of its financial technology platform, including its development of AI tools designed to help businesses reduce costs and improve productivity.
The latest investment follows a series of funding rounds as Ramp continues to grow its customer base and broaden its product offering. Its $60bn valuation, achieved just four months after its previous fundraising round, highlights the level of investor interest in the business as it expands beyond corporate cards and expense management into a wider range of financial operations.
