Bellevue-based Acumatica, which digitizes and integrates companies’ accounting and other business segments in the cloud for easy access, has announced a strategic collaboration with global accounting and advisory firm BDO USA, expanding Acumatica’s capacity globally.
“They’re broadening the reach and taking us to the places that we might not naturally be in without them,” said Acumatica CEO Jon Roskill.
He also anticipates BDO expanding Acumatica’s footprint among high-tech companies in the Puget Sound.
Acumatica, a cloud ERP (enterprise resource planning) company, typically sells its service to midsize companies, Roskill said. Acumatica has found that companies start to look for new accounting systems when they reach a point of about $10 million in revenue, need to do transactions in multiple currencies, or have domestic and/or international subsidiaries and need to aggregate data for reporting.
There are more than 500,000 businesses in a revenue band of roughly $10 million to $200 million that are running on decades-old legacy accounting systems, Roskill said of market opportunities. BDO typically works with larger companies in that range and beyond, and as it consults with companies on digital transformation, the collaboration allows it to include Acumatica in the solution, he said.
Acumatica moves companies’ accounting and financial data into the cloud, then takes the companies through a digital transformation that enables them to become a fully connected business, Roskill said. There isn’t one cloud, he said, noting companies like his, Microsoft, Google, Salesforce, and others running cloud networks.
“What we’re about is connecting these clouds together and we would say that that’s a core element of true digital transformation,” he said.
Providing a workflow example of end-to-end cloud integration, he said a majority of Acumatica customers run Microsoft Office 365 and, as an order arrives through Outlook email, it’s instantly transformed into an order in Acumatica, seamlessly integrating the two clouds. That one order could then use Avalara’s cloud to conduct the tax calculation, and DocuSign to sign a contract for both parties sent via Office 365 email.
Acumatica’s revenues have grown more than 10 times over about the last five years, Roskill said. “But we’re nowhere near done. In fact, in many ways, we’re still just getting started — and so the alliances with entities like BDO I think validate that.”
Acumatica started in 2009 and spent its first four years building up its software, essentially going to market about six years ago, he said. The company does not release revenues, but it has more than 5,200 customers. It has about 350 employees worldwide, with about 65 of those in Puget Sound.
Bringing ERP to the cloud and accessing company data anywhere, anytime, on devices like smartphones used to be the domain of executives in major companies, Roskill said. “We’re democratizing that sort of capability down into the mid-market and we’re very proud of that,” he said.