JP Morgan Growth Equity Partners has led a $100 million Series C funding round in software start-up Codat.

Codat provides an API which allows small businesses to integrate different pieces of software together, including tools for accounting and HR.

The start-up said the new capital will be used to expand its critical infrastructure and to help small businesses share their data.

Canapi Ventures and Shopify also participated in the round and Open Banking FinTech Plaid has been publicly named as an investor for the first time.

Existing investors Index Ventures and PayPal Ventures also joined in the round, which gives the start-up a valuation of around $825 million.

Codat claims it has over 200 clients, including large banks as well as FinTech such as Brex, Jeeves, Pipe and Clover, and has a team of 250 people across offices in London, New York City, and Sydney.

"Today, we're in the age of 'dial-up' when it comes to business data," said chief executive at Codat Pete Lord. "Despite radical advancements in other areas of technology, in 2022 the majority of small business systems still don't speak to each other, creating hours of painful admin and serious barriers to growth.”

“No one will be speaking about SMB financial software integrations in 5-10 years - automated data flows over the Codat platform will be a presumed standard. The only time you'll notice integrations is when they are not there.”

He added: “With the impressive caliber and strong sector expertise that JP Morgan and Patrick bring to our board, alongside our other advisors, we couldn't be in a better position to capitalize on the massive opportunity in front of us."

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