The Avalara IPO is on the horizon as the company’s sales have been growing at a faster rate than expected.
Here are 10 things to know about the Avalara IPO:
- The company helps other companies get tax compliance rights and it is growing at a faster rate than expected.
- Founded in Seattle in 2004, Avalara raked in revenue of $213 million last year, a 27.55% increase compared to its $167 million in sales from 2016.
- However, the company has been losing money, posting a net loss of $64.1 million in 2017.
- The company has been losing money since it was founded, amassing an accumulated deficit of $427 million.
- “If our revenue does not increase to offset increases in our operating expenses, we may never achieve or maintain profitability,” Avalara wrote in its IPO filing.
- The company is hoping to launch in the New York Stock Exchange following its Friday filing, which seeks for up to $150 million to make the IPO happen.
- “Our vision is to be part of every transaction in the world,” the company wrote in the filing.
- Last year alone, Avalara processed more than 16 million tax determinations each day.
- Sageview Capital has a 27% stake in the company, while Warburg Pincus holds a 24.5% stake and CEO Scott McFarlane holds a 3.8% stake in the company.
- The company has 1,495 full-time employees across Canada, India, Brazil and the United Kingdom.