Sunday, May 25, 2025

the executive headlines
logo
  • Home
  • Technology
  • Industry
  • Magazines
  • Our Clients
  • Startup Insights
  • CXOs
  • Leaders Speak
  • Videos
  • News/Blogs
Home

Technology

Industry

Magazines
Our Clients
Startup Insights
CXOs
Leaders Speak
Videos

News/Blogs

Home

Technology

Industry

Magazines
Our Clients
Startup Insights
CXOs
Leaders Speak
Videos

News/Blogs

  1. Home
  2. startup-insights
  3. kintsugi-raises-18m-sales-tax-compliance-smb
The executive headlines
FacebookInstagramTwitterlinkedinPinterestyoutube

QuickLinks

About UsContact UsReprint & PermissionDisclaimerPrivacy PolicyAdvertise

Latest Magazines

10 Innovative Companies to Watch in 2024
10 Best Companies to Watch in 2024

Subscribe to Our Newsletter

© 2025 The Executive Headlines. All rights reserved.

Kintsugi Raises $18 Million to Revolutionize Sales Tax Compliance for Small and Medium Businesses

Kintsugi Raises $18 Million to Revolutionize Sales Tax Compliance for Small and Medium Businesses

Kintsugi, a San Francisco-based startup focused on simplifying sales tax compliance, has successfully raised $18 million in new funding. Led by Vertex, a global leader in indirect tax technology solutions, the investment will help Kintsugi expand its AI-powered platform and bring its efficient, cost-effective sales tax automation tools to a broader range of businesses, particularly small and medium-sized enterprises (SMEs).

A Rising Demand for Tax Automation

With the rapid growth of e-commerce and cross-border trade, businesses are increasingly struggling to navigate the complexities of tax compliance. Changing regulations, like the 2018 Supreme Court ruling that required online sellers to collect sales tax in states where they don’t have a physical presence, have only added to these challenges. As businesses scramble to keep up with these shifts, the demand for automation solutions has surged. Kintsugi aims to meet this demand by offering a software solution that integrates seamlessly with revenue-generating platforms like Shopify, Stripe, Chargebee, Quickbooks, and even custom API setups.

Kintsugi’s platform provides a 360-degree view of revenue, allowing businesses to instantly calculate taxes and ensure compliance. According to Pujun Bhatnagar, the CEO and co-founder of Kintsugi, the company aims to disrupt the tax compliance industry in the same way that Uber revolutionized taxis and Stripe transformed credit card payments. “Our goal is to do for sales tax compliance what Uber did for taxi cabs and what Stripe did for credit card payments. We want to enable businesses in 171 countries to seamlessly manage tax obligations,” Bhatnagar said in an exclusive interview.

A Game-Changer for Small Businesses

Founded just a year ago in 2023, Kintsugi has already garnered significant attention due to its innovative approach. The company has leveraged the advancements in artificial intelligence to offer a solution that is not only smarter but also more affordable than its competitors. “We are half the cost of Avalara, and we replace the need for a CPA. A regular operator can install our app in seven clicks and three minutes, and instantly know their sales tax liability. Filing taxes takes less than three minutes a month,” Bhatnagar explained.

Currently, Kintsugi’s platform allows businesses to calculate their sales tax liability for free. However, the company charges for tax filing services and offers an auto-remit feature that allows businesses to file their taxes automatically once the platform calculates the required data.

Rapid Growth and Ambitious Goals

In just one year, Kintsugi has made impressive strides. The startup generated $3 million in annual revenue last year and aims to cross $10 million by the end of 2025. With a low churn rate of just 0.1%, the company currently serves over 2,400 customers, including businesses ranging from startups to large enterprises generating up to $500 million in revenue. Its customer base is particularly strong in the SaaS industry, making up 45% of its clients, who collectively handle 5.5 million transactions valued at $7.7 billion.

In addition to expanding its customer base, Kintsugi plans to extend its services globally, building on its previous expansions into Canada and Europe. The company is now eyeing markets in South America, Africa, and Asia, including India and China.

Strategic Partnership with Vertex

Vertex’s $15 million investment, which gives it a 10% stake in Kintsugi, marks a pivotal moment for the startup. Vertex, known for servicing large multinational enterprises and complex mid-market businesses, sees Kintsugi’s platform as a complementary solution that can scale to serve smaller companies. Chirag Patel, Chief Strategy Officer at Vertex, emphasized the synergies between the two companies, stating, “Kintsugi is highly specialized and incredibly good at scaling the small business model, which is hard to do. Together, we can create something powerful.”

Vertex also plans to invest $10–12 million in advancing AI technology, leveraging Kintsugi’s intellectual property to enhance its own developments in this space.

Impressive Profit Margins and Future Plans

Kintsugi is already achieving remarkable profit margins of over 93%, a testament to its efficient business model and strong customer demand. With a growing team of 95 employees, the company is positioning itself for further expansion and innovation in the rapidly evolving tax automation market.

As e-commerce businesses face an increasingly complex tax landscape, Kintsugi is poised to become a key player in simplifying sales tax compliance. With its cost-effective AI-driven platform, the startup aims to empower businesses of all sizes to manage their tax obligations with ease—freeing up valuable time and resources for growth and innovation.

Conclusion: A New Era of Sales Tax Compliance

Kintsugi’s latest funding round marks an exciting chapter in the startup’s journey. With Vertex’s strategic backing and its commitment to advancing AI technology, the company is set to redefine the future of sales tax compliance. As businesses across the globe embrace automation, Kintsugi’s platform offers a crucial solution for managing the complexities of tax regulations, all while making it easier and more affordable for companies to thrive in an increasingly digital world.

 

 

Business News

Passing the Torch: Warren Buffett Bows Out, but Not Away

John Ridding Bids Farewell: The End of an Era at Financial Times

Cleveland-Cliffs CEO Declares War on Japan as He Eyes U.S. Steel Takeover

Harnessing AI: Transforming the Workplace for Enhanced Productivity

Navigating Economic Turbulence: The Inflation Conundrum

Featured Companies
logologologologologologologologologologologologologologologologologologologologo

Contact us for our upcoming Awards

why us ?

Elevate your understanding of the world of business with Best Business Magazine and news platform. The Executive Headlines genuinely support all top business leaders and the innovative technological ecosystem that surrounds and engages with them. The company ' logo encapsulates our entire idea; it comprises a magazine for influential business leaders and decision-makers. Offering up-to-the-minute, all-encompassing news coverage, market perspectives, and exclusive dialogues with corporate pioneers, we are your ultimate destination for remaining at the vanguard of the business sphere. Enroll with us today and position yourself at the forefront of business acumen with Best News Platform and Business Magazine