Ramp raises USD $1.85 billion in new funding round

Ramp has raised USD $1.85 billion in a primary financing round led by Dragoneer Investment Group, valuing the New York financial software company at USD $60 billion.

It now generates more than USD $2 billion in annualised revenue and remains cash-flow positive. Revenue growth is running 25% faster than at the same point a year ago.

Thrive Capital, Founders Fund, Sands Capital and Avenir Growth co-led the round, and a large group of existing and new backers also participated. With the latest financing, Ramp has raised about USD $5 billion in total equity funding.

The fundraising comes as Ramp expands beyond corporate cards and expense management into a broader set of finance tools. Most customers now use at least two Ramp products, while a quarter use three or more.

Its enterprise business is also growing quickly, with the number of customers generating more than USD $100,000 in revenue rising 113% year on year.

Growth metrics

According to Ramp, more than 85,000 businesses use its platform and manage over USD $275 billion in annualised purchase volume. Customers collectively save more than USD $1 billion a month.

Ramp also reported that its median customer now saves 7.5%, up from 5% a year ago, and completes transactions with 22% less manual work. It said that means customers are saving 50% more on every dollar spent than they were a year earlier.

Its customer roster includes Visa, Uber, Shopify, Robinhood, Fanatics, Notion, Cursor, the Denver Broncos and the Boys and Girls Club.

Investors linked the round to the company's growth and its broader push into finance operations software and artificial intelligence tools.

"Ramp is the kind of company we love to back at Dragoneer. It's already a market leader with a deep, durable moat, and it's still growing incredibly fast," said Christian Jensen, Partner at Dragoneer. "In just a few years, Ramp has become a much broader financial operations platform, with AI deeply embedded in how the company builds and operates. We believe Ramp is well on its way to becoming one of the defining companies of this era."

Another investor pointed to Ramp's appeal to finance teams and its expanding use of automation.

"We first invested in Ramp in 2023 as it was becoming the obvious choice for finance teams. With AI, Ramp's platform is becoming the obvious choice to automate the entire office of finance," said Barron Martin, Managing Partner at Sands Capital. "Three years and multiple rounds later, we believe the opportunity is more compelling now than when we first invested, and we're proud to deepen our partnership with Eric, Karim, and the team."

AI products

Ramp has been adding products tied to invoicing, revenue collection and AI cost controls. Recent launches include Glass, which the company describes as a collaborative AI workspace; Ramp Accounts Receivable, for invoice creation and cash collection; AI Token Spend Management; and Router.com, a service designed to route model requests based on cost and performance.

The company is pitching those products to businesses trying to manage AI system use and cost. That reflects a broader shift among software groups seeking to attach financial controls to growing AI spending inside companies.

Eric Glyman, Co-Founder and Co-Chief Executive Officer of Ramp, linked the company's recent growth to customer demand for savings in both time and money.

"We obsess over saving our customers time and money. That's why we're growing faster at more than twice the size we were a year ago," said Eric Glyman, Co-Founder and Co-Chief Executive Officer of Ramp. "AI opens up much more of the work it takes to run a company. Our opportunity is to get that work done at less cost. We want to help every business run better with AI."

Customers cited lower operating costs as a reason for adopting Ramp's tools. Uber said it uses Ramp for travel and expense management, while AngelList and Serval pointed to savings tied to AI spending and model routing.

"At Uber's scale, small inefficiencies add up," said Justin Reyhl, Head of Global Travel and Expense at Uber. "We want our people focused on reimagining the way the world moves for the better, and we want every dollar we spend to advance the business. Ramp helps us scale our T&E operations without added layers of work, while keeping spend under control."

"Ramp's Token Spend Management helped us cut monthly AI spend by 17.5%," said Greg Cooley, Controller at AngelList. "That gives us more room to invest in work that moves the business forward. We want to keep expanding what we do with AI, and Ramp helps us make every dollar count."

"When you're building an AI company, the models your engineers can use and the cost of running them directly affect what you can build," said Alex McLeod, Chief Technology Officer at Serval. "Router gives our team access to models across providers through one API and automatically optimises costs. For our coding agents, that's meant cutting inference costs nearly in half-savings we can put back into building."