HubiFi Company Profile

Background

Overview

HubiFi, established in 2023, is a privately held company headquartered in Columbus, Ohio. Specializing in financial software, HubiFi offers an automated revenue recognition and reporting platform tailored for high-volume businesses. The company's mission is to streamline financial data management by integrating directly with clients' Enterprise Resource Planning (ERP) and operational data sources, thereby automating and customizing financial analysis and accounting processes without compromising the integrity of core financials.

Key Strategic Focus

Core Objectives and Specialization

HubiFi focuses on automating the order-to-cash accounting cycle, ensuring compliance with ASC 606 standards. The platform is designed to handle high transaction volumes, providing real-time financial reporting and analytics. By connecting seamlessly with various accounting software, ERPs, and CRMs, HubiFi aims to reduce the time spent on manual data compilation, minimize errors, and accelerate the financial close process.

Key Technologies Utilized

Change Data Capture: Automates manual accounting adjustments by converting constantly changing data sources into period-specific, accountable data, ensuring accurate revenue recognition.

Integration & General Ledger Agnostic: Seamlessly integrates with any source system or general ledger to automate ASC 606 compliance and order-to-cash accounting.

Pivot Table User Interface: Provides a user-friendly interface that allows users to analyze financial data efficiently, similar to using a pivot table.

Public Company Readiness: Built to pass public company audits, with SOC 1/2 Type II compliance and robust reconciliation controls.

Primary Markets Targeted

HubiFi primarily serves high-volume businesses across various industries that require automated revenue recognition and comprehensive financial reporting solutions. The platform is particularly beneficial for companies seeking to improve dynamic financial reporting and ensure compliance with accounting standards.

Financials and Funding

Funding History

In June 2024, HubiFi completed a seed funding round, raising $2.5 million. The funding was led by venture capital firms Anthemis, Motivate Venture Capital, and Rev1 Ventures.

Utilization of Capital

The capital raised is intended to enhance HubiFi's technological capabilities, expand its customer base, and further develop its platform to meet the evolving needs of high-volume businesses.

Technological Platform and Innovation

Proprietary Technologies

HubiFi's platform is built on accounting principles, ensuring adherence to ASC/GAAP standards. The software includes features such as:

Automated Revenue Recognition: Ensures daily ASC 606 and order-to-cash accounting.

Dynamic Segmentation: Allows for granular revenue reporting and analysis without compromising financial integrity.

Real-Time Financial Insights: Provides intra-month monitoring and alerting, enabling finance leaders to make informed decisions promptly.

Scientific Methodologies

The platform employs change data capture methodologies to automate manual accounting adjustments, converting constantly changing data sources into period-specific, accountable data. This approach ensures accurate revenue recognition and reduces the need for manual intervention.

Leadership Team

Executive Profiles

Jason Berwanger: Co-Founder and Chief Executive Officer. With 15 years of experience in finance, data, and technology, Jason has held various roles from accountant to finance executive. He was instrumental in achieving a 6% gross margin improvement during a sub-90-day IPO at Root Insurance.

Bill Kaper: Co-Founder, President, and Chief Technology Officer. Bill brings over 20 years of experience in product, engineering, and business leadership, including 7.5 years at Amazon as a Senior Leader and General Manager. He has led multiple successful acquisitions and specializes in identifying and executing over-the-horizon opportunities.

Competitor Profile

Market Insights and Dynamics

The financial software industry is experiencing significant growth, driven by the increasing need for automation and compliance in financial reporting. Companies are seeking solutions that can handle high transaction volumes, ensure regulatory compliance, and provide real-time financial insights.

Competitor Analysis

HubiFi operates in a competitive landscape with several notable companies offering similar services:

FloQast: Provides financial close management software that streamlines the close process and enhances accuracy.

BlackLine Financial Close Management: Offers solutions to automate financial close processes, improving controls for accounting and finance teams.

SAP S/4HANA Cloud: An integrated ERP software providing comprehensive financial management solutions for businesses of all sizes.

NetSuite: A cloud ERP solution offering a suite of applications, including accounting and financial planning.

Sage Intacct: Provides financial accounting software with functionalities tailored for small to mid-sized businesses.

Strategic Collaborations and Partnerships

HubiFi has established partnerships with venture capital firms such as Anthemis, Motivate Venture Capital, and Rev1 Ventures. These collaborations provide financial backing and strategic guidance, supporting HubiFi's growth and innovation initiatives.

Operational Insights

Competitive Advantages

HubiFi differentiates itself through its focus on high-volume businesses, offering a platform built by accountants for accountants. The software's adherence to accounting principles, combined with features like change data capture and dynamic segmentation, provides clients with accurate, real-time financial reporting and compliance.

Strategic Opportunities and Future Directions

HubiFi aims to expand its market presence by continuously enhancing its platform's capabilities, integrating with a broader range of financial systems, and addressing the evolving needs of high-volume businesses. The company is also focused on maintaining compliance with accounting standards and ensuring its platform is audit-ready for public companies.