Ramp raises $1.85 billion as its valuation jumps to $60 billion in four months
The New York fintech, best known for corporate cards and expense software, added about $16 billion to its value since June.
Ramp, the New York company that makes corporate cards and spending software for businesses, has raised about $1.85 billion at a valuation of around $60 billion, according to reports first published by Bloomberg. The round was led by Dragoneer Investment Group and Thrive Capital, with Founders Fund also investing heavily.
The speed of Ramp’s rise is the real story. In June, it raised $750 million at a $44 billion valuation. Four months later, it is worth roughly $16 billion more.
What does Ramp do?
Founded in 2019, Ramp sells software that helps companies control how they spend money. Its main products include:
- Corporate cards for employees, with spending limits set by the company
- Expense management, so staff no longer need to collect paper receipts
- Bill payments and procurement, the process of buying from suppliers
- Fraud detection and financial reporting tools
In simple terms, Ramp wants to replace the spreadsheets and manual checks that finance teams use every day with software that does much of the work automatically.
The numbers behind the valuation
Bloomberg reported that Ramp worked with about 70,000 businesses as of June, up from 50,000 at the start of the year, and that its annualised revenue had passed $1.5 billion by then. Other reports put the figures higher now, but these are company figures and have not been independently audited.
Ramp’s fast growth also comes as its competition changes. Its closest rival, Brex, was sold to Capital One earlier this year for $5.15 billion, which leaves Ramp as the most valuable startup in business spending.
The AI angle
Like most fintech companies, Ramp is adding AI. It uses AI to review expenses and handle routine finance work. In August, it released a tool that sends simple tasks to cheaper AI models to save money, and it is reportedly considering training its own models.
Investors are betting that the boring parts of finance, such as receipts, approvals and invoices, are perfect jobs for AI.
Why it matters
Ramp’s round shows that investors are still willing to pay high prices for startups with strong revenue growth, even as some worry about an AI bubble. It also shows a shift in startup funding: much of the money is going to a few fast-growing leaders rather than being spread across many smaller companies.
For small and medium-sized businesses, competition in this area is good news. Tools that were once only affordable for large companies, such as automatic expense checks and smart spending controls, are becoming standard.
What to watch next
- Whether Ramp expands further outside the United States
- Whether it builds its own AI models, as reported
- Whether a stock market listing is part of its plans in the next few years
