iplicit Secures £25 Million Funding to Fuel Growth in Cloud Accounting Market

iplicit Secures £25 Million in Funding to Redefine Cloud Accounting Software Landscape

UK-based cloud accounting software platform iplicit has secured £25 million (approximately €29.7 million or $31 million) in its first external institutional funding round. The investment, led by One Peak, will fuel the company’s ambitious plans to accelerate product development, expand its market presence, and solidify its position as a leading cloud accounting solution for mid-market businesses and non-profits. With triple-digit revenue growth for six consecutive years and a growing user base, iplicit is poised to disrupt the accounting software industry.

Company Background and Growth: A Success Story in the Making

Founded in 2019, iplicit has quickly emerged as a standout player in the cloud accounting software market. The company’s growth trajectory is nothing short of impressive:

It serves over 2,000 organizations and supports more than 38,000 daily users.
iplicit has achieved triple-digit revenue growth annually for six consecutive years.
The company was ranked 18th in the FT1000 list of Europe’s fastest-growing companies.
In 2024, iplicit recorded a staggering 113% year-on-year revenue growth.

These metrics highlight iplicit’s ability to meet the evolving needs of mid-market businesses and non-profits, positioning it as a formidable competitor in a crowded market.

Product Features: Tailored for Mid-Market Success

iplicit’s success can be attributed to its robust suite of features designed to address the pain points of mid-market businesses and non-profits. Key offerings include:

Multi-dimensional general ledger with unlimited levels of analysis for detailed financial insights.
End-to-end purchase-to-pay system that streamlines procurement processes.
Automated accounts payable and receivables to enhance operational efficiency.
Advanced budgeting, planning, and forecasting capabilities for precise financial management.
Business intelligence tools, including on-screen reporting and dashboards.
Automated bank reconciliations and seamless integration via Open API.

These features make iplicit an attractive option for organizations transitioning from entry-level systems or outdated on-premises solutions.

Market Position: Bridging the Gap for Growing Businesses

iplicit has carved out a niche by targeting businesses that have outgrown basic accounting systems but are not yet ready for enterprise-level solutions. The platform offers a seamless migration path from legacy systems, providing greater flexibility and enhanced reporting capabilities. This strategic positioning allows iplicit to address a critical gap in the market, making it a preferred choice for mid-market companies and non-profits.

Future Plans: Accelerating Growth and Innovation

With the new funding, iplicit has outlined several strategic initiatives:

Sustaining growth momentum through continued product innovation.
Enhancing customer experiences to drive retention and satisfaction.
Expanding marketing efforts to increase brand visibility.
Building a robust partner network, including top Sage and Advanced resellers and leading UK accounting firms.

CEO Lyndon Stickley expressed confidence in the company’s future, stating that iplicit is not just aiming to become a tech unicorn but is set to redefine the accounting software landscape.

A Competitive Landscape

The cloud accounting software market is highly competitive, with established players like Sage Intacct, NetSuite, QuickBooks Enterprise, and Xero dominating the space. These competitors boast extensive customer bases and significant market shares, with SAP Financial Accounting holding 29.43% of the financial management market and NetSuite Financial Management at 11.54%.

Despite this, iplicit has managed to differentiate itself through its unique value propositions (UVPs), such as its multi-dimensional general ledger, advanced budgeting tools, and seamless Open API integration. These features cater to the specific needs of mid-market businesses and non-profits, giving iplicit a competitive edge.

Challenges: Navigating a Crowded Market

While iplicit’s growth is impressive, it faces several challenges:

Market penetration: Competing against established brands with larger marketing budgets and brand recognition.
Scalability: Ensuring the platform can handle increasing user demands without compromising performance.
Customer acquisition and retention: Attracting new clients while maintaining high retention rates in a competitive market.
Technological advancements: Continuously innovating to keep pace with evolving industry standards.

iplicit’s Market Potential

1. Market Dynamics and Trends

The cloud accounting software market is experiencing rapid growth, driven by:

Mid-market migration to cloud solutions: Businesses are moving away from legacy systems in favor of scalable, cost-efficient platforms.
Post-pandemic digitization: The shift toward automation and remote-ready solutions has accelerated adoption.
Demand for integration: Companies seek platforms that integrate seamlessly with existing tech stacks and offer real-time reporting.

iplicit’s 113% YoY revenue growth and unique features position it as a disruptor in this space. However, it must contend with the incumbents' established reputations and deeper R&D budgets.

2. Stakeholder Impact

Customers: iplicit’s feature set appeals to businesses seeking operational efficiency and financial control, particularly non-profits.
Competitors: Established players may face pressure to innovate or risk losing market share.
Investors and partners: The £25M funding round positions iplicit as a high-potential player, attracting strategic alliances and global expansion opportunities.

3. Key Challenges

Brand awareness: Competing against global incumbents with established reputations.
Scalability risks: Managing rapid growth while maintaining customer satisfaction.
Feature parity: Competitors may replicate iplicit’s features or undercut pricing.

4. Market Potential

If iplicit continues to innovate and expand its partner network, it could become the “Shopify of mid-market accounting”—a flexible, scalable platform that scales globally while remaining customer-centric. Its potential exit valuation could range between $1–$3 billion within 5–7 years, contingent on market share growth, customer retention, and successful partnerships.

Final Thoughts: A Disruptor on the Rise

iplicit’s journey from a startup to a high-growth company is a testament to its innovative approach and customer-centric strategy. While challenges remain, its impressive growth trajectory, unique features, and recent funding signal significant upside potential. As the cloud accounting software market evolves, iplicit is well-positioned to redefine the industry and create lasting value for its stakeholders.

For businesses and investors alike, iplicit represents a compelling opportunity to be part of a transformative story in the accounting software landscape.