Artificial intelligence continues to reshape the financial services landscape as AI-for-accounting startup Basis has officially entered the unicorn club. The company recently closed a $100 million funding round that values the business at $1.15 billion, according to Bloomberg. This milestone underscores growing investor confidence in AI solutions designed to transform traditional accounting practices and address persistent workforce challenges in the profession.
Venture capital firm Accel led the latest investment round, with participation from GV, former Goldman Sachs Group CEO Lloyd Blankfein, and existing backer Khosla Ventures. The funding brings Basis’s total capital raised to $138 million since its founding in 2023. The company reports that its platform is currently used by approximately 30 percent of the top 25 accounting firms in the United States and 20 percent of the top 150 firms nationwide.
How AI Accounting Solutions Are Gaining Traction
Basis builds AI agents specifically designed for accounting firms to automate routine but labor-intensive tasks. These intelligent systems handle activities such as preparing financial statements, filing tax returns, and tracking expenses. The company’s value proposition centers on freeing accountants from repetitive work so they can focus on higher-value advisory services for their clients.
The startup plans to use the new capital injection to expand its customer base and enhance its capabilities in tax and audit functions. Additionally, Basis intends to grow its machine learning and engineering teams to meet increasing market demand. The company is developing what it describes as “long-horizon agents,” which are AI systems capable of working on complex accounting tasks for hours or even days rather than simply responding to quick prompts.
Competitive Landscape for AI Accounting Platforms
Basis is entering an increasingly competitive market as investors pour capital into AI accounting solutions. Earlier this month, General Catalyst invested $65 million in Accrual, another AI accounting software startup. Meanwhile, French fintech Pennylane raised €175 million in a funding round led by TCV in January, according to Bloomberg.
However, the broader financial technology sector has experienced volatility as AI capabilities expand. Bloomberg reported that wealth management stocks declined after Altruist Corp. launched AI agents for tax planning. Similarly, shares of financial data providers fell when Anthropic unveiled a new model capable of handling complex financial research.
Addressing the Accountant Shortage Crisis
Despite concerns about automation displacing workers, demand for accountants is projected to grow over the coming years, according to the US Bureau of Labour Statistics. The challenge facing the industry is supply rather than demand. Fewer students are pursuing accounting careers, while many experienced professionals are retiring or leaving the field entirely.
Basis CEO Matt Harpe emphasizes that the company aims to support accountants rather than replace them. By automating standard tax returns and financial statement preparation, human professionals can transition toward higher-level advisory work. This includes assisting clients with tax strategy decisions, capital allocation, and long-term planning initiatives.
Advanced AI Agent Capabilities
One of the company’s key differentiators is its emphasis on sophisticated, persistent AI systems that can manage extended workflows. Basis works closely with OpenAI, leveraging its models to handle increasingly complicated accounting processes. The company has created an AI agent capable of independently managing complex partnership tax returns, which require preparing individual tax forms for each partner, managing unique profit-sharing arrangements, and filing in multiple states.
As Basis expands its operations and technology capabilities, the accounting industry will be watching to see how effectively these AI accounting solutions integrate into existing workflows. The company’s success in attracting major accounting firms as clients suggests significant market validation, though the long-term impact on the profession remains to be fully realized.