After two years of heavy development, we’ve announced Digits for Expenses! We couldn’t be more humbled by the support and excitement we’ve seen from countless business owners and accountants across the country and around the globe, and we’re working tirelessly to get them into our Early Access program.
Since our launch, we’ve also been solidifying Digits’ underlying financial engine. Businesses come in all shapes and sizes, so we need to be absolutely certain that Digits supports them all.
This month, our biggest upgrades focused on new technology to help ensure that our understanding and your understanding of your business’ financials are the same.
Automated P&L and Balance Sheet Validation
Data quality is at the heart of our mission to provide real-time visibility and actionable insights into how your business is spending money, and we’re constantly iterating on approaches to guarantee both precision and accuracy, while keeping your data private and secure.
Over the past month, we’ve built fully-automated validation using two of the three most common financial reports. Here’s how it works:
We first generate a full Profit & Loss Statement and a Balance Sheet report using Digits’ internal, proprietary representation of your company’s financials. We then export the same P&L and Balance Sheet from your ledger’s API, for each month of your company’s history. Our validation pipeline then automatically compares them—line by line—guaranteeing that Digits’ representation of your data is accurate and that you can trust the numbers we display.
Automated Regression Detection
While validation is critical for all historical data, it’s meaningless for real-time transactions that have not yet hit your ledger. That’s where Digits’ online classification engine comes in.
We are constantly iterating and improving our algorithms to give you even better real-time insights into spend (with correct categorization and vendor identification), and it’s critical that those improvements don’t unintentionally regress other data points.
Over the past month, we’ve architected and implemented an automated classification regression monitor, which continuously watches a large and growing set of known-correct transactions from our sample data, and then automatically alerts on any unexpected changes.
This is just the start, and we continue to invest heavily in data validation, and data quality assurance.
There’s lots more we’ve been working on, though…
Digits for Expenses
- Improved time-series navigation with “Jump to today” feature.
- Improved support for yearly period views.
- Stabilized transaction deep-link URLs.
- Polished commenting UX.
- Enhanced activity feed with additional event types.
- New UI for identifying unknown/novel transactions.
- Automated P&L and Balance Sheet validation.
- Automated regression detection.
- Improved anomalous transaction detection.
- Improved vendor identification for journal entry line items.
- Productionized automatic vendor deduplication.
- Implemented depreciation and amortization exclusions for expense analysis.
- Improved auto-reconciliation of source transactions across larger time windows.
- Productionized new recurrence detection algorithm.
- Improved status monitoring of 3rd-party data providers.
- Tuned importer pipeline for performance and scale.
- Deployed API upgrades to improve imported data consistency.
- Improved handling of popular expense management software transactions.
We are obsessed with the vision that business finance should be immediately accessible and intuitive. It should learn, in real-time, as the business evolves, and it should empower business owners and operators everywhere, without requiring any prior financial training.
Why? Because today’s business climate requires you to take action in the moment and react rapidly to changing market conditions. That means not waiting weeks to receive a standard packet of black & white financials—which honestly can be quite difficult to interpret—and instead demanding the visibility and insight you need to make decisions, right now.
The Power of Digits
The world’s largest companies have sophisticated finance teams and internal forecasting models that give them these capabilities. What about everyone else? What if synthesized, actionable financial insights were available to every business on earth? What if they were always in real-time, and always up-to-date?
For two years, we’ve been building the technical infrastructure to make this a reality: N-dimensional transaction attribution. Auto-reconciliation. Predictive classification. Vendor identification and profile synthesis. Sub-second, full-ledger search. Statistical analysis and anomaly detection. Per-secret envelope encryption. The list goes on.
Introducing Digits, for Expenses
We’ve been humbled by the glowing feedback from our early customers and we’ve been inundated with requests for access. And, in these unprecedented times, we feel the obligation to help as many business owners as we can, as quickly as possible.
So today, we’re launching a broad early-access program for Digits for Expenses. We’ve taken all of the power of our platform and focused it specifically on helping business owners navigate today’s challenging market dynamics, so they can see and manage how their company is spending money:
Digits is a phenomenal and truly game-changing product. To be able to ask such a wide spectrum of financial questions and get to those answers immediately has been so empowering, and the team’s passion for the space is clear in all the small details.
Thinking back to a finance world before Digits… feels like remembering Netflix as a DVD-by-mail service.
– Kenny Mendes, Head of Finance, People, and Operations
Digits for Expenses is the first real-time, intuitively visual, machine-learned expense monitoring dashboard for small businesses, and in light of current conditions, we are making it Free.
(Seriously. We have other paid products on our roadmap, but Digits for Expenses is and will continue to be free for all small businesses. In this quarantine, it’s the least we can do.)
GV leads $22M Series B
As we’ve built Digits, we’ve been overwhelmed by the energy and excitement for our mission from founders, accountants, and investors alike, and we’ve been honored to have the financial backing of Benchmark and over 70 passionate angel investors.
We see this as a long-term, sustained effort, and Digits for Expenses is just the first chapter: we believe that innovations in technology, algorithms, and design have unlocked a new realm of possibility for financial software, and we are committed to making this vision a reality for businesses around the world.
In support of this, we’re excited to share that we have closed $22M in Series B funding, led by Jessica Verrilli at GV, and we’re thrilled to welcome her to our Board. Jessica’s deep experience in corporate development at Twitter and in early-stage investing through GV and #Angels have given her unique insight into the challenges small businesses face during their most-defining moments, and we’re looking forward to imbuing the product with her knowledge.
Jeff and Wayne are masterful at creating intuitive, high-utility products from complicated data. I saw this up close with Crashlytics and Twitter, and I’m thrilled to partner with them on Digits as they reimagine financial software for startups.
– Jessica Verrilli, General Partner
This round gives us the stability we need to become the partner that businesses can trust: at current burn, Digits’ runway now extends over 10 years.
$8+ Billion and counting…
When we announced our Series A in November, Digits’ production systems saw over $1.5 Billion in transaction value across our early customer base. Today, that number is already over $8 Billion, and growing daily.
Digits for Expenses is available today, for free, for US-based startups and small businesses. We plan to add support for international markets later this year.
Digits takes just a few clicks to set up, and sits on top of your existing ledger and your existing accountant’s work—you change nothing. Sign up here to get started.
(If you’re an investor, startup incubator, or accounting firm and want priority access for your portfolio companies, contact us at email@example.com.)
As founders, we would like to thank the entire Digits team for their tireless work over the past two years to bring us to this point. We still see this as just the beginning of our Digits journey, and we look forward to building powerful tools to help businesses of every shape and size chart their course.
We can’t wait for you to experience Digits, and we can’t wait to hear what you think.
Six months ago we shared a preview of our next adventure, and of our obsession with building modern, intuitive, intelligent, delightful financial software. And the response has left us overjoyed and even more focused.
We’ve heard from countless business owners, CFOs, and accountants who’ve all lost patience with the status quo and who share our hunger—and our vision—for a better solution. We’ve also been humbled by so many offers of support.
$10.5M Series A
Today, we’re thrilled to announce that we closed $10.5M in Series A funding from Benchmark, alongside 72 incredible angel investors.
We’re also excited to share that Peter Fenton has brought his wealth of board experience from AirTable, Twitter, NewRelic, Yelp, and many others to Digits.
$1.5B+ And Counting
We’d like to thank our early customers and partners that have all generously shared their time, knowledge, ideas, and feedback with us over the past year as we’ve built out our core platform technologies. Digits’ production systems now see over $1.5 Billion in transactions across our customer base, and that figure grows daily.
Digits is invite-only. Apply for access.
As builders, there is nothing more gratifying than crafting a product that is used by millions. That saves them countless hours of effort. That turns something complex and frustrating into something accessible, intuitive, even delightful.
As founders, there is nothing more fulfilling than assembling a team of brilliant, passionate, customer-obsessed, kind people who you love working with every day. Who you trust deeply. Who you care for as friends and family.
When we set off to create Crashlytics in 2011, we were struck both by the potential of the nascent mobile ecosystem and by the frustration of actually building for it. How could it be so hard to make an app that didn’t crash? How could the bugs be so tricky to track down and fix, once the app did? We felt there was an opportunity to apply consumer-grade design and engineering to an obscure developer issue; an opportunity to bring enterprise-grade tooling to everyone on earth who aspired to write an app.
We got lucky.
We found a dream-team of like-minded builders who we owe everything to.
And we discovered that we had struck a chord with mobile developers around the world, from established tech companies in Silicon Valley to passionate indie devs in homes, in coffee houses, and in garages in almost every country on Earth.
And the scale left us humbled—today, Crashlytics processes trillions of events, from billions of mobile devices, across millions of apps. Every single month. Today, Crashlytics runs on substantially every active smartphone on Earth.
But that journey wasn’t all smooth.
Building a business is an endless rollercoaster of emotions, of challenges, of long explorations, of setbacks, of celebrations. And we unwittingly found our next project along the way.
The Next Puzzle
As builders, there is nothing more exciting than cracking the next engineering puzzle; than perfecting the next design; than delivering the next capability to customers.
And there is nothing more mind-numbing than the paperwork, and spreadsheets, and financial reports, and inscrutable transaction records that are all required to actually operate the business.
Globally, most entrepreneurs today have no formal training in business finance. We certainly didn’t. Today, you start a company to solve a real problem for real people, or to offer a service you’re skilled at, or to provide a living for you and your family. You don’t start a company because you want to operate a business—but you have to anyway.
Software has unlocked vast capabilities in some areas—you no longer must be a dedicated filmmaker to create a movie, or a professional travel agent to book a plane ticket—but it has stumbled in others. You still must be a trained accountant to understand your company’s financials, and even then they require tedious, manual work to keep updated.
We’ve become obsessed with solving this, but in the right way. Not with bots that replace human accountants, but with software experiences that pair design and machine learning to democratize financial savvy. That empower people of all backgrounds and skillsets to visualize, understand, and manage their businesses, and elevate their interactions with their accountants, investors, and advisors.
We feel there is an opportunity to apply consumer-grade design and engineering to the arcane world of business accounting; an opportunity to bring enterprise-grade tooling to everyone on Earth who aspires to own or operate a business.
From Digits, With Love
We’ve been lucky to reassemble a bit of the core team we loved so much to go build this together, along with some incredible new additions.
From the team that brought you Crashlytics, we hope you’ll wish us luck on this Digits adventure.
We’ll have more to share soon,