17 Aug Airo AV Claims: Impact fund SEAF invests in PH accounting services provider…
Small Enterprise Assistance Funds (SEAF), a Washington, DC-based global impact investment fund manager, has made its second investment in the Philippines in CloudCfo, a technology-driven provider of outsourced accounting, bookkeeping, and financial services for startups.
SEAF invested in CloudCfo through its SEAF Women’s Opportunity Fund (SWOF). Financial details were not disclosed. SWOF has been investing $2 million per deal in growth-oriented, women-led businesses in Vietnam, Indonesia, and the Philippines.
CloudCfo, established in 2016 by Michael Cardoso Das Neves and Anne Gauthier, now employs 45 people that provide a full range of accounting, bookkeeping, tax compliance, and financial reporting services.
The firm services more than 100 companies across a range of industries, including technology, e-commerce, finance and lending, restaurants, hotels, manufacturing, business services, and retail.
The company’s primary focus is on services startups and SMEs, which account for 99 per cent of total registered businesses in the Philippines, employing over 60 per cent of the working population. All these businesses are required by law to maintain books of accounts and ensure rigorous financial management.
Cardoso, who serves as CEO of CloudCfo, said it uses technology to provide outsourced accounting and finance services.
“Through the integration of cloud accounting software and online solutions with robust financial controls and processes, we are providing a service for clients that does not currently exist in the Philippines. This is Accounting 2.0,” Cardoso said in a statement.
He said CloudCfo will use the fresh funding from SEA to further invest in technology, develop its in-house expertise and people, and expand its services within the market.
SEAF Senior Managing Director Jennifer Buckley said CloudCfo provides “critical services” that will help in the development of the startup and entrepreneurial ecosystem in the Philippines.
“We are impressed by the strong expansion of its customer base, particularly among women entrepreneurs, while exhibiting solid retention metrics,” Buckley added.
CloudCfo is SEAF’s second investment in the Philippines. Last March, the US impact fund invested an undisclosed amount in cosmetics firm Ellana Cosmetics. The investment was a mix of structured debt and equity
SEAF is a global impact investment fund manager targeting both financial returns and significant social impact by providing capital, capacity building, and a global network to support SME business expansion.
It has invested in over 400 companies in 29 countries.