Online accounting software maker Xero has raised $16.6 million in new funding from existing investors — including PayPal co-founder Peter Thiel, whose most famous investment, Facebook, just filed for an IPO,
Thiel first invested $3 million in New Zealand-founded Xero back in 2010, with the aim of fueling expansion in the United States. The company says that’s also the reason for the latest round. This time, Xero also notes that it recently doubled its US team, from three employees to six, and hired Jamie Sutherland (formerly vice president and general manager at Sage Software) as the president of US operations.
Other investors in the round include Sam Morgan and MYOB co-founder Craig Winkler. The company says it has 60,000 paying customers and 240,000 users. It partners with Yodlee to bring automatic bank feeds into the service, with 5,000 feeds in the US.
“Xero transforms the way small businesses handle their accounting,” Thiel said in the press release. “Where conventional accounting software is cluttered, slow, and anchored to a desktop, Xero’s cloud-based services and intuitive design simplify an impressive suite of financial tasks. We’re excited to see Xero grow throughout the U.S.”