Business Cloud News
Xero raised another $111m this week and bolstered its leadership lineup

Xero raised another $111m this week and bolstered its leadership lineup

Xero, a provider of cloud-based accountancy services announced it has secured $110.8m in funding from Accel Partners and Matrix Capital Management, and has appointed former Dell and Salesforce executives to head up the firm’s US operations and join the board of directors, respectively.

The funding round, which comes just a couple of years after it secured $150m, will be used to fuel the company’s marketing and sales efforts as it looks to expand in the UK and US.

The company also bolstered its executive team and board of directors with two high level appointments.

Graham Smith, who most recently served as chief financial officer at Salesforce and also held similar posts at a range of software firms, is joining Xero as a non-executive board member. And Russ Fujioka, who formerly served as global vice president of marketing at Dell and since September last year has served as Xero’s interim US marketing head, will become president of the company’s US outfit.

“We welcome the Accel Funds as strategic investors in Xero, and are delighted with Matrix’s continued support,” said Xero chief eexecutive Rod Drury. “Our ability to attract capital and leadership of this caliber is testament to our success and our potential to become the small business SaaS platform of choice for entrepreneurs around the globe.”

Given the traction Xero seems to have in its niche the funding announcement has caused speculation that Xero intends to IPO in the US, although Drury was quick to point out on the company blog that the funding doesn’t “really make a difference for a possible US IPO.”

“We’d mainly do it for brand awareness and marketing. Just gives us more options so we can be in the best shape if we go,” he said.