e-conomic, one of Europe’s leading SaaS (Software as a Service) accounting solutions providers backed by private equity investor HgCapital, and CE Consulting Empresarial (‘CE’), a leading Spanish provider of business advisory services with a nationwide network of accountancy offices, have established a new Spanish joint venture.
HgCapital acquired e-conomic in mid-2013 in an off-market transaction. HgCapital’s investment in e-conomic is in line with HgCapital’s sector-focused approach of supporting leading growth mid-market companies in the European SMB software sector.
The JV supports HgCapital’s ambitions for e-conomic – to create a European industry champion providing cutting edge accounting and other SMB focused software solutions. This deal gives CE rights to the market development and commercial distribution of e-conomic’s software solutions in Spain, providing e-conomic with an immediate and extensive distribution network in the Spanish market and access to CE Consulting’s 13,000 SMB customers.
e-conomic’s cloud-based products are specifically tailored for small and medium-sized businesses (‘SMB’s), bookkeepers and accountants. Its products enable customers to do their accounting more efficiently over the internet in real-time collaboration with their accountant, turning what can be a time consuming, complex chore into a far quicker, simpler process. Companies are provided with access to the software via a low monthly subscription fee. The pricing model requires no license fee or upfront investment and is therefore attractive for start-ups and small businesses. e-conomic’s internet-based solutions help consultants, SMBs, freelancers and accountants deal with the speed of technological change.
The deal will allow e-conomic to further capitalize on the trend of companies moving towards cloud-based solutions as the advantages in terms of speed, flexibility and future-proofing become more widely understood. e-conomic’s products facilitate the standardisation and automation of processes, allowing them to focus on counselling and advising their clients, providing better customer service and helping them to builld more valuable long-term relationships.
“e-conomic’s cloud-based accounting solutions redefine how accounting advice is given in the 21st century. It is the technology partner that advisors, consultants and companies need to take that quantum leap to streamlining their business processes, save time and offer better services to customers. With e-conomic’s products, accountants will be up to date on the company’s developments and be able to advise customers proactively in real time from anywhere. We are confident that our extensive network will provide a significant new customer base for e-conomic which will benefit both parties.”Celstino Suero, CEO of CE Consulting Empresarial Spain
“We are very excited about the partnership with Celestino and CE Consulting. With over 120 offices in Spain and providing advisory services to professional bookkeepers and 13.000 small and medium sized businesses, we see CE Consulting as the ideal partner in our goal to become one of the leading accounting solution providers in Spain within a few years. We share the same ideas and ambitions and there are a lot of synergies to develop. That gives us the possibility to set new standards in Spain within the accounting and financial services industry.”Mogens Elsberg, CEO of e-conomic
“This partnership represents an exciting development in our strategy for e-conomic’s geographical expansion into new markets, building on its already strong pan-European footprint. There is significant potential for growth in the international SMB SaaS bookkeeping market in the coming years and e-conomic is well positioned to become a sector leader that best capitalizes on this clear trend for SMBs to take greater control over their bookkeeping via the internet.”Nic Humphries, CEO of HgCapital