Kintsugi Doubles Valuation to $150M with AI-Powered Tax Automation
Kintsugi, a Silicon Valley startup specializing in AI-driven sales tax compliance, has secured $18 million in new funding, doubling its valuation to $150 million in just six months. The round was led by Vertex, a global tax technology provider, signaling strong confidence in Kintsugi’s innovative approach to simplifying tax automation for businesses.
The startup’s platform integrates with major revenue platforms like Shopify, Stripe, and QuickBooks, offering real-time tax calculations and filings. “Our goal is to do for tax compliance what Uber did for taxis and Stripe did for payments,” said Pujun Bhatnagar, Kintsugi’s CEO. The company leverages AI to reduce costs, claiming to be 50% cheaper than competitors like Avalara while eliminating the need for CPA intervention.
With a 93% profit margin and a churn rate of just 0.1%, Kintsugi serves 2,400 customers, ranging from small businesses to enterprises generating up to $500 million in revenue. The startup plans to expand into South America, Africa, and Asia, further solidifying its global footprint.
Vertex’s investment includes a $15 million minority stake and a strategic partnership to enhance AI-driven tax solutions for multinational corporations. “Kintsugi complements our focus on large enterprises while excelling in the SMB space,” noted Chirag Patel, Vertex’s Chief Strategy Officer.
As e-commerce and cross-border trade grow, automated tax compliance is becoming essential. Kintsugi’s rapid rise highlights the increasing demand for AI-powered financial tools that simplify complex regulatory challenges.
