All Manual Back-Office Tasks Are Set to Be Eliminated as Fazeshift Raises $4M to Transform AR’s

Fazeshift, a promising AI agent focused on transforming the accounts receivable (AR) process, has successfully raised $4 million in seed funding. This marks a significant milestone in the company’s journey, one that has attracted attention from major investors, including Google’s early-stage AI fund, Gradient, along with Y Combinator, Wayfinder, Pioneer Fund, Ritual Capital, Phoenix Fund, and notable angel investors like Terrence Rohan, Kulveer Taggar, and Rich Aberman.

The story of Fazeshift began when its co-founders, Caitlin Leksana and Timmy, met during their MBA studies at Harvard. Their previous venture in B2B marketing software exposed them to a pressing issue in the business world: the inefficiency and complexity surrounding AR workflows. This experience sparked the idea for Fazeshift, an AI-powered agent designed to streamline these processes, which had long been burdened by fragmented data and manual labor.

Before Fazeshift, managing accounts receivable was a painstaking task for many enterprises. Finance teams were often bogged down by hours of manual work, moving data between platforms like QuickBooks, Stripe, NetSuite, DocuSign, HubSpot, and Salesforce. Tasks like invoice generation, payment reconciliation, and chasing overdue accounts were not only tedious but prone to errors, costing companies billions. As Fazeshift pointed out, enterprises waste over $200 billion annually managing AR in this inefficient manner.

Fazeshift’s breakthrough lies in its ability to integrate data across disparate software systems and automate the AR process. What sets it apart from traditional robotic process automation (RPA) tools is its use of large language models (LLMs). Unlike RPA, which struggles with understanding the nuances of complex workflows, Fazeshift’s LLM-powered approach can manage the entire AR process with remarkable accuracy. It uses specialized prompts fine-tuned to each unique task, providing the flexibility needed for large-scale enterprise operations.

As Caitlin Leksana, co-founder and CEO of Fazeshift, explained, “Enterprises waste over $200 billion annually managing accounts receivable (AR), bogged down by manual tasks like reconciling payments, generating invoices, and chasing overdue accounts. Fazeshift streamlines this process by automating everything from invoice creation to payment reconciliation, freeing teams from hours of manual work.”

The company’s approach is already paying off. Fazeshift is working with several large enterprise customers, automating workflows that once required 12-member teams. The efficiency gains are significant, with tasks that typically took hours now handled by the AI agent in a fraction of the time. According to the company, their AI agent is capable of performing complex billing workflows, sending customer emails, and updating accounting records – all while manipulating the same software tools that human teams used previously.

“The opportunity for transformation in AR is massive,” Leksana continued. “Eventually, we’re going to see all tedious and manual back-office tasks be eliminated. This funding allows us to accelerate our product development and customer acquisition efforts.”

The success of Fazeshift’s seed funding is a clear indicator that AI agents are no longer confined to basic tasks like chatbots. Instead, as Archana Kannan, senior vice president of product at Slack, mentioned, AI agents are increasingly capable of performing complex operational decisions across industries. “The ability for AI agents to reason, decide and take action will amplify results,” Kannan said. “Ultimately, agents are going to transform how every user gets their job done, particularly the mundane, common tasks like automating projects, new hire onboarding, generating content or managing IT incidents.”

Fazeshift’s investors are equally confident in the company’s future. Darian Shirazi, Managing Partner at Gradient, noted the impact that AI is already having on the B2B payments stack. “The B2B payments stack is being completely reinvented since AI agents have become more mainstream. Finance teams at companies large and small typically struggle with monthly reconciliation and collecting overdue invoices. These finance processes are typically manual and tedious. We’re excited to partner with the Fazeshift team as they streamline finance processes while still giving significant customization and visibility to finance operations teams.”

As the company moves forward, the $4 million in funding will be used to accelerate product development and expand its reach. Fazeshift aims to grow its customer base, helping more businesses automate their AR workflows and unlock efficiencies. The potential for AI to revolutionize the AR space is immense, and Fazeshift is positioning itself at the forefront of this transformation.

Fazeshift’s product isn’t just about automating mundane tasks. It’s about rethinking the way businesses handle their AR processes. By fine-tuning its AI to specific business needs and ensuring seamless integrations with existing software systems, Fazeshift is creating a solution that goes beyond mere automation—it offers a customized, efficient, and scalable tool that can transform the entire AR function. The company’s focus on AR comes at a time when more and more businesses are recognizing the value of AI in streamlining operations.