Xendoo, a South Florida-based provider of online accounting, bookkeeping and tax preparation services, has raised $3.5 million in seed funding. The funding round was led by Malachi. Other investments are from Jason Calacanis’ LAUNCH Syndicate, DeepWork Capital and Revolution’s Rise of the Rest Seed Fund.
Founder and CEO Lil Roberts said she started Xendoo to help small business owners manage their finances. She cited a study that found that 82% of small businesses that fail go out of business not because of lack of profitability but because of lack of cash flow.
The company helps small businesses with monthly bookkeeping, preparation of corporate tax returns and IRS compliance. Clients can regularly check their balance sheet, profit and loss data and revenue and profitability trends.
Xendoo has already 600 customers in 45 states and eight countries. It focuses on small businesses with revenues between $500,000 and $10 million. These include marketing companies, funeral parlors, dry cleaners, hair salons, gyms and e-commerce resellers.