FreshBooks, a Toronto, Canada-based cloud accounting software for small businesses, has secured $125 million in senior debt financing.
Investors
The round was led by Morgan Stanley Expansion Capital and Morgan Stanley Private Credit.
Morgan Stanley Expansion Capital is the growth-focused private investment platform within Morgan Stanley Investment Management. It targets late-stage growth equity and credit investments within consumer, technology, healthcare, and other high-growth sectors. For over three decades, it completed investments in more than 200 companies.
Morgan Stanley Private Credit, part of Morgan Stanley Investment Management, is a private credit platform focused on direct lending and opportunistic private credit investments in North America and Western Europe. The Morgan Stanley Private Credit team invests across the capital structure, including senior secured term loans, unitranche loans, junior debt, structured equity, and common equity co-investments.
FreshBooks Use of Funds
The financing will refinance existing debt and fuel the company’s continued growth.
About FreshBooks
FreshBooks provides a SaaS accounting software designed for small businesses. It offers an easy-to-use platform that enables the company to handle everything from invoicing clients and receiving payments to managing time tracking and payroll processing. FreshBooks features include invoicing, expense tracking, time tracking, project management, payment processing, financial reporting, and a mobile app for managing finances on the go. Founded in 2003, FreshBooks primarily targets the U.S. and Canadian markets.
Funding Details
Company: FreshBooks
Raised: $125.0M
Round: Senior Debt Financing
Funding Date: March 2025
Lead Investor: Morgan Stanley Expansion Capital
Additional Investors: Morgan Stanley Private Credit
Company Website: https://www.freshbooks.com/
Software Category: Accounting
Source: https://www.businesswire.com/news/home/20250320675950/en/