Yesterday, AuditBoard, a cloud-software provider for risk, audit, and compliance work, announced that it had secured a $40 million investment from venture capital firm Battery Ventures. The Los Angeles-based company says it plans to use the funds to support product development, accelerate sales and marketing, and build new business partnerships.
AuditBoard, which was founded in 2014 by former PwC and EY auditors Daniel Kim and Jay Lee, transitioned from its prior identity as Soxhub last November as it sought to expand beyond its niche as a provider of a Sarbanes-Oxley Act compliance solutions. The cash infusion will certainly help it in that expansion. In a press release announcing the investment, the company says it now “provides an end-to-end solution and a system of record for internal audit, compliance, and risk teams.”
“Our company was founded on a simple vision: Businesses want an easy-to-use, comprehensive, and integrated tool to help them report and manage all their audit and compliance activities, and to manage risk,” said Kim, AuditBoard’s CEO in the release. “Today, too many auditors are cobbling together different tools to do this, including old-fashioned spreadsheets, and it is hurting the quality of internal controls.”
The company serves customers across industries, including TripAdvisor, Lululemon, HD Supply, Express Scripts and Spirit Airlines. AuditBoard says it hopes to expand that customer base with a “new phase of growth.” “We’re very excited to work with Battery, which has invested in many other financial-tech companies, to continue AuditBoard’s expansion, including launching new products and building our partner network,” said Lee, the company’s President. 