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Nominal emerges out of stealth to bridge the ERP gap with AI

Guy Leibovitz
Mar 27, 2024
min read

Today, we’re announcing a $9.2M Seed funding round led by Hyperwise Ventures and Bling Capital with the participation of Incubate Fund and Vela Partners.

The ERP market is broken. Finance and accounting teams have to choose between spreadsheet chaos and costly customization projects that usually underachieve. Following a miserable experience at our startup and then at a Fortune 500 company after Cogingo’s acquisition, Golan and I decided to use our AI and data engineering experience to fix it. We are committed to building a company that makes a real impact and delivering a solution that automates manual work and lets finance teams focus on strategy over spreadsheets.

Nominal’s $9.2M Seed Round

Today, we are excited to announce that Nominal has raised $9.2M in a seed funding round led by Hyperwise Ventures and Bling Capital, with participation from Incubate Fund and Vela Partners. In a short 9 months, we've gone from our first line of code to deploying our platform across hundreds of entities, managing over $1 billion in book value. This investment is another clear sign of confidence in our progress and the unique market opportunity we have to harness generative AI to bridge the gap between outdated, costly ERP systems and the financial management needs of the business of the future. We're excited that Nathan Shuchami from Hyperwise and Kyle Lui from Bling will be joining Nominal’s board, bringing their extensive expertise and strategic guidance to support our growth.

Better is Inevitable

The ERP market has evolved from mainframes to client-server, and in 1999 it shifted to the cloud. However, like all products, their underlying software also has an expiration date. Nowadays, these systems require expensive customizations and extensive manual work, and many ERP implementations underachieve. This problem is especially prevalent in mid-market, multi-entity businesses dealing with multiple ledgers, currencies, and regulations. We see a significant opportunity to create the fourth-generation ERP, powered by the transformative potential of generative AI. This approach allows companies to keep their current ledgers while enjoying the benefits of this new breed of AI-powered solutions.

With today's announcement, Nominal is emerging from stealth with a groundbreaking accounting automation platform that takes an entirely new approach. First, our shadow ledger extends existing ERPs and general ledgers without requiring migration, minimizing risk and disruption to current operations. Second, our generative subledgers transform various data inputs and business logic into automated workflows, streamlining processes such as multi-entity consolidation and management, lease accounting, and revenue recognition. Third, our platform offers custom workflows, allowing businesses to tailor their financial operations to their specific needs. Lastly, our period-end collaboration tool and advanced reporting capabilities enable finance teams to focus on strategic growth rather than manual tasks.

It's a solution that has already resonated with our early customers, ranging from mid-sized enterprises to rapidly growing startups. They have embraced Nominal because it directly addresses the critical challenges and inefficiencies they have long struggled with, yet have been unable to overcome using other tools available in the market. Not only is better possible, but it is also inevitable.

Our Team

In an industry saturated with AI accounting buzzwords, it's crucial to partner with a team you can trust. At Nominal, our co-founders, Guy Leibovitz and Golan Kopichinsky, bring a proven track record of success, having previously built and exited Cognigo, an AI data governance company acquired by NetApp in 2019.

Our team's deep expertise in data engineering and AI, combined with the practical experience of our senior technology leaders, positions us uniquely to tackle the challenges faced by modern finance teams. We're not just jumping on the AI bandwagon; we're leveraging our knowledge to create a platform that genuinely transforms financial management.

The Road Ahead

Nominal challenges the status quo, and we have a staggering amount of work ahead. Our near-term focus will be on enhancing our platform's AI capabilities, expanding our integrations with other financial tools, and supporting additional critical workflows. We'll also be growing our team and broadening our market reach to empower more mid-market companies across the industries of the future. As we continue to innovate and deliver value to our customers, we remain committed to our vision of creating the future of financial management, and let strategic finance teams strategize.

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About the writer

Guy Leibovitz
Guy Leibovitz

Founder & CEO, Nominal

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