Ramp Raises $5 Million for User and Revenue Forecasting Platform

Ramp has raised $5 million in seed funding for its user and revenue forecasting platform.

The tool uses cohort-based forecasting to run scenarios and forecasts in minutes and predict customer behavior, future revenue and a firm’s annual growth, the United Kingdom-based startup said in a Friday (March 3) press release.

“Our platform dramatically increases the accuracy of revenue forecasting in a fraction of the time it would take in spreadsheets,” Ramp Chief Strategy Officer and Co-founder Angus Lovitt said in the release. “What took us all a day in terms of number crunching we can now do in minutes.”

PYMNTS research has found that 72% of treasurers manually collect and categorize data to use for cash flow forecasting — a lagging process that can be costly as well as time-consuming.

Using manual methods creates a vicious circle, as treasurers risk forecasting with outdated or inaccurate information that can compound their risk management and cash flow concerns, according to the “Digitizing B2B Payments Tracker®,” a PYMNTS and Deluxe collaboration.

Adopting new technologies is especially important when businesses are looking to streamline and modernize processes and systems, the report said.

A new generation of forecasting tools would help with the many operational challenges that come along with being the chief financial officer (CFO) of a rapidly growing company, Alloy CFO Kiran Hebbar told PYMNTS in an interview posted in July 2022.

“The next generation of forecasting tools that will help us give visibility on where revenue is headed has to take into account big data, [artificial intelligence (AI)], machine learning, work with consumption-based models to figure out where revenue is growing and so on and so forth,” Hebbar said at the time.

Ramp will use its new capital to streamline the onboarding of new clients, which will enable it to scale, according to the press release.

The firm has been onboarding at least one new enterprise client every month and has built a portfolio of gaming clients, the release said.

Businesses empowered by forecasting from the platform have been better prepared to invest in marketing, cut costs and make other decisions, per the release.

“Our long-term goal is to position Ramp as a single source of truth for the future of businesses, from which prescriptive and proactive analytics services can stem,” Ramp CEO and Co-founder Dan Marcus said in the release. “We’re at the forefront of this new product category and it’s great to have such renowned investors believe in this vision and join us on this journey.”

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