Online accounting software provider FreeAgent has embarked on the initial stage of its global expansion plans after completing its first acquisition in the United States. The Edinburgh-headquartered firm, which provides an online accounting system for small businesses and freelancers, has acquired Chicago-based financial forecasting software firm 60mo - whose team will be incorporated into its new American division FreeAgent Inc.
The acquisition comes during a new investment boost for FreeAgent, which was secured after the company won the support of Lightbank - the influential Chicago-based Venture Capital fund. The new funds from Lightbank and existing UK investors will allow FreeAgent to focus on establishing and growing its U.S. division in the coming months.
By utilising 60mo’s knowledge and expertise in the U.S. accounting software market, FreeAgent plans to adapt its accounting system specifically for the United States. Ed Molyneux, CEO and co-founder of FreeAgent, said: “We are very pleased to announce this acquisition and new round of funding. I’m delighted that we are being joined by an expert team with a wealth of knowledge in the U.S. accounting software market, together with the tremendous boost of having Lightbank on board.
The US expansion follows a period of rapid business growth for FreeAgent, which has seen the company triple its UK staff numbers in the last 12 months. FreeAgent also recently announced a direct integrated bank feed with Barclays - allowing customers with a Barclays Business account to have their bank data automatically updated in their FreeAgent account.
FreeAgent Inc will be based in Chicago, IL and a dedicated U.S. version of the FreeAgent system will be launched in the coming months, says the company.