CIBC Innovation Banking provided a $5 million credit facility to Nevada-based Karbon, which provides practice management software for accounting firms. The company plans to use the facility to support its hiring plans and to further invest in its product set.
“The industry has been experiencing a gradual shift to distributed teams for years, but the pandemic significantly accelerated that trend. Accounting practices with cloud-based workflow versus legacy desktop solutions immediately realized the value of having the flexibility to efficiently work from anywhere,” Stuart McLeod, CEO and co-founder of Karbon, said. “We are pleased to have the support of the CIBC Innovation Banking team to continue building out our product set and become the premium cloud-based workflow solution for accountants.”
Karbon also recently received an investment from Five Elms Capital and will be growing its teams in the U.S., Canada, Australia, New Zealand and the UK.
“Stuart, John and Ian have built a quality and robust team dedicated to meeting the needs of accounting firms and their clients. We are excited to support the company as it continues to scale globally,” Holly Dungan, managing director in CIBC Innovation Banking’s Menlo Park, CA, office, said.
In addition to Five Elms Capital, Karbon’s equity investors also include Blackbird Ventures.