NETLEDGER SECURES $20 MILLION FROM STARVEST PARTNERS L.P., ADP, PAINEWEBBER, AND OTHERS
NetLedger Backed by Strategic Partner, Venture and Financial Institution Funding—Board Expands with Addition of Deborah Farrington of StarVest Partners L.P.
San Mateo, CA.—June 19, 2000—NetLedger Inc.,
the leading application service provider (ASP) that
enables small businesses to run their companies totally
online, today announced that it has secured $20 million
in financing. StarVest Partners L.P. led the round of
funding, with Automatic Data Processing Atlantic Inc.
(ADP) and PaineWebber Group Inc. participating significantly.
Additional participants include the Co-Investment 2000
Fund L.P., Internet Assets Inc., Invest Inc., Larry
Ellison, Oracle founder and chairman, and other private
investors. Deborah Farrington, founder and co-chairman
of StarVest Partners L.P., will join NetLedger's board
NetLedger plans to use the
Expand marketing efforts to accelerate customer acquisition.
Broaden NetLedger distribution channels via strategic
Continue developing its leading-edge technology and
Ellison provided NetLedger with seed capital and is
chairman of NetLedger's board of directors. He has continued
his support of NetLedger in this round of funding.
"This investment testifies that we've successfully
delivered our promise as an ASP that enables small businesses
to automate their business processes starting with accounting,"
said Bill Mirbach, president and chief executive officer
of NetLedger, Inc. "We'll use this round of financing
to cement our relationship with strategic partners who
offer distribution and technical skills. Our lead venture
capital group, StarVest, importantly is well versed
in finance as well as operations."
By harnessing the power of the Internet, NetLedger
provides its customers with feature-rich, easy-to-use
accounting and business management applications. Designed
for companies with fewer than 100 employees, NetLedger's
accounting solution costs $4.95 per month per user with
unlimited transactions. NetLedger handles functions
ranging from accounts receivable to sophisticated financial
analyses, while providing automatic data backup, automatic
software upgrades and security. NetLedger delivers the
reliability and scalability of Oracle 8i, the Internet
standard for databases. The service is encrypted to
"We are pleased to have led the first round of
institutional investment in NetLedger," said Deborah
Farrington, founder and co-chairman of StarVest Partners
L.P. "NetLedger has a strong business model that
capitalizes on both the growth of the small-business
market segment and the trend toward utilizing ASPs for
the technology, security and ease of use they deliver.
The combination of venture capital and strategic backing
in the investor syndicate will help power the company's
growth. StarVest will contribute its industry expertise,
knowledge and contacts to the NetLedger board and assist
the company's efforts to maximize employee, customer
and shareholder value."
"NetLedger was first to market with an online
accounting solution that has tremendous appeal to the
small-business owner," said Bud Angelus, president
of ADP's Emerging Business Services Division. "It
is easy to use, extremely affordable and offers remote
access to employees, customers, suppliers, as well as
accounting users. Seamlessly integrated with EasyPayNet,
our new online payroll service, NetLedger enables small
businesses to focus on their core competencies of running
"NetLedger offers a robust accounting solution
through which it provides the key business applications
that enable small businesses to handle these critical
functions online," said Thomas Naratil, PaineWebber
senior vice president and a member of the firm's e-finance
investment committee. "Our small business clients
have indicated that finding a solution like NetLedger
is critical to increasing their productivity and business
About StarVest Partners
StarVest Partners L.P., headquartered in New York City,
is a $130 million venture capital partnership established
to invest in business-to-business e-commerce, outsourced
business services including network and system integrators
and web-related information technology companies. StarVest
adds value to its portfolio companies through its partners'
extensive experience in private equity investing, operations
and service on boards of directors.
Automatic Data Processing Inc. (NYSE:AUD) is one of
the largest global providers of computerized transaction
processing, data communications and information services,
with more than $5 billion in revenues and more than
450,000 clients worldwide. ADP's Employer Services (ES)
Division is a leading provider of integrated business
administrative solutions that help clients efficiently
manage their internal processes, allowing them to focus
on core competencies. ADP ES' offerings include both
traditional and Internet-based outsourcing products
and services, giving clients the ability to select from
ADP's comprehensive range of World Class Service solutions.
Services include: payroll, tax regulatory management,
HRIS, benefits administration, time and labor management,
retirement plan services, online recruiting, and pre-employment
screening. About Paine Webber Group Inc. PaineWebber
Group Inc., together with its subsidiaries, serves the
investment and capital needs of a worldwide client base.
The firm employs 20,008 people in 318 offices.
For more information about NetSuite please visit our
Web site at www.netsuite.com.
Oracle is a registered trademark of Oracle Corporation
and/or its affiliates.