Canopy announces $70 million funding round in Series C investment

Accounting practice management software provider Canopy announced a $70 million Series C funding round. Viking Global Investors led the round, with continued participation from existing investors Ten Coves Capital, Ankona Capital, Pelion Venture Partners and Tenaya Capital. 

The announcement follows the success of a $35 million round in May 2024. The funding from this most recent investment will focus on leveraging AI to make medium and large accounting firms more efficient and profitable. The company will also be evaluating opportunities to grow through acquisitions. 

“At Canopy, our mission is to help accountants to focus on what drew them to the profession in the first place: being accountants,” said Canopy CEO Davis Bell. “They want to apply their expertise to delivering real value to clients — not chasing documents, renaming PDFs and sending invoices. We were already making these tasks easier, but with AI we’re now automating them away entirely. This frees up time and resources and generates insights that help firms better serve clients, increase profitability and reduce team burnout. As the operating system for accounting firms, Canopy is the natural starting point for the AI transformation of the industry.”

Last month, Canopy announced it had begun testing for Questionnaire, Document Automation and Email Summaries features.  The Questionnaire feature will allow users to build custom forms with preconfigured settings, which can be used for organizers or client intake. The Document Automation feature will eventually leverage AI to create consistent naming conventions based on a firm’s preferences. When individuals or companies upload documents into Canopy, this feature will provide uniform naming structures to make document management more efficient. Email Summaries will let practitioners scan and process emails.