Enterprise resource planning (ERP) systems are frequently referred to as a company’s “central brain” due to their ability to integrate various departments, such as finance, HR, and inventory, into a unified database, enabling shared information access for all.
Recently, a new wave of AI-driven ERP startups, including Rillet and Campfire, have surfaced with the goal of supplanting older systems like NetSuite. These newer firms assert that conventional ERPs are cumbersome, costly, and demand extensive implementation periods.
Yet, Wiley Jones, co-founder and CEO of Doss, points out that numerous emerging AI ERP solutions fall short in comprehensive inventory management, which involves keeping physical goods data consistently aligned with accounting records.
Doss purports to address this gap by offering an AI-native inventory management layer designed to integrate seamlessly with current accounting systems, encompassing both legacy ERPs and those developed by AI-focused startups.
This Tuesday, Doss revealed securing $55 million in Series B funding, co-led by Madrona and Premji Invest, with Intuit also participating. Additional new and existing investors in this round include Theory Ventures, General Catalyst, Contrary Capital, and Greyhound Capital.
Established in 2023, Doss initially concentrated on a core accounting product akin to those provided by AI-native startups such as Rillet and Campfire. However, last year, the startup opted to pursue a partnership approach rather than direct competition, aiming to “play a different game,” as Jones shared with TechCrunch.
Jones clarified that while AI-native ERP firms handle accounts receivable, accounts payable, and various other financial operations, the majority do not provide procurement and inventory management solutions that integrate with accounting workflows.
Jones stated, “We are developing significant supply chain traceability, specifically designed to interface with a finance and accounting partner.”
Beyond Rillet and Campfire, the company’s network of partners also features Intuit, the creator of QuickBooks.
Jones remarked, “They collaborate with us because establishing physical goods management as a core competency would demand substantial investment of energy and effort on their part.”
Doss primarily serves mid-market consumer brands, generally those with annual top-line revenues ranging from $20 million to $250 million. Verve Coffee Roasters, a premium specialty coffee brand, exemplifies one of their clients.
While the startup views itself as a competitor to conventional ERPs, these established entities are also actively evolving in the AI era. NetSuite, for example, recently unveiled its enhanced AI ERP. Doss additionally faces competition from other agentic procurement startups like Didero.
Jones concedes that promoting two separate ERP systems—one for accounting and another for inventory management, such as Doss—presents “a challenging sales proposition.” However, he notes that the complexity of implementing legacy ERPs leads many clients to opt for a pair of newer, AI-driven solutions instead.
Jones concluded, “I believe the mid-market will witness a highly competitive struggle, ultimately decided by which contender reconfigures their architecture to be most comprehensible and functional for agents.”