Nanonets, an AI-based document workflow automation platform, today announced a $10 million Series A round led by Elevation Capital. The funds will be used to expand Nanonets’ engineering and AI/ML teams as well as hyper-scale its operations and go-to-market teams in new geographies.
“The Series A funding is a critical next step in bringing Nanonets’ world-class document workflow solutions to customers across the globe,” its co-founder and CEO Sarthank Jain said. “Nanonets operates with a customer-obsessed approach to doing business. We’re constantly asking ourselves how to make the experience of document management easier for our customers and their end users.”
Jain and Prathamesh Juvatkar said they founded Nanonets with the mission of leveraging AI to make workflow automation easier for businesses. Seventy percent of organizations still have paper-dependent processes today, from parsing millions of contracts to manually matching invoices to purchase orders. Current legacy systems and processes require employees to review each document and manually enter data into CRMs, ERPs, or Excel files.
Using APIs and no-code customization custom capabilities, Nanonets gives organizations the ability to write their own business rules, connect to varied business data sources, and update internal systems to automate document workflows and financial controls. The platform keeps learning from every document it sees and organizations can automate an end-to-end process within hours, helping them speed up their operations and their employees do more with their time.
“When we met Sarthak and Prathamesh, we were impressed to see that despite being at the cutting edge of AI/ML, Nanonets’ product is no-code and super intuitive — which makes it extremely easy for their clients to adopt,” Elevation Capital partner Mukul Arora added. “We were also really inspired by Sarthak’s vision of using document extraction as a wedge to build a much deeper process automation platform. With very little capital, Sarthak and Prathamesh have built a stellar team and super impressive scale, and we are really excited to partner with them on this journey to build a large global tech company.”
According to an estimate by Bain & Co’s 2021 report Beyond Cost Savings: Reinventing Business Through Automation, automation platforms with broader capabilities and technologies have an addressable market of more than $65 billion. A shift in company business operations due to the pandemic-induced work-from-home situation is expected to favor market growth in the coming years.
Nanonets said its AI engine eliminates the need to create rules/layouts per format, which is a big problem with traditional OCR providers but instead relies on cognitive intelligence to do the same job.
Besides Elevation Capital, the Series A round saw participation from angel investors including Amar Goel (Founder and Chairman, PubMatic), Gautam Kumar and Kushal Nahata (co-founders, FarEye), Krish Subramanian and Rajaraman Santhanam (co-founders, Chargebee Inc.), Vara Kumar Namburu and Khadim Batti (co-founders, Whatfix), Ashish Gupta (co-founder, Helion), Nakul Aggarwal and Ritesh Arora (co-founders, BrowserStack), and Vetri Vellore (founder and CEO, Ally). Earlier investors included Ashton Kutcher, Y Combinator, SV Angel, and Soma Capital.