Japanese online accounting software firm freee announced that it has successfully raised a total of $2.7 million in Series A funding. DCM and Infinity Capital Partners invested in the Tokyo-based company that currently boasts of over 6,500 small and medium sized businesses (SMBs) using its automated platform for accounting and/or bookkeeping.

Daisuke Sasaki, freee CEO and co-founder, highlights the integral service they are providing. "In Japan, more than 99% of SMBs use stand-alone accounting software for bookkeeping, all of which require dual-entry bookkeeping knowledge. Most accounting software users manually input data by looking at invoices and receipts," Sasaki said. Developed with SMBs in mind, freee allows users to sync bank and credit card accounts. It also uses text analysis to categorize income and spending for the user to review and approve.

The Series A funding is expected to accelerate freee's product development phase. Specifically, it seeks to improve automation and integration, collaboration, and enhance user experience.