Billables AI secured a $10.2 million Series A round led by Avenue Growth Partners, with participation from returning backers Wing VC, SignalFire, and Alumni Ventures. The funding will fuel product expansion of its AI powered operational intelligence platform for law firms as the company scales rapidly in the legal tech sector.
Billables AI announced a $10.2 million Series A funding round, led by Avenue Growth Partners with participation from returning investors Wing VC, SignalFire, and Alumni Ventures. This brings the San Francisco-based company’s total funding to approximately $14.1 million, following a $3.9 million seed round in October 2025 (also led by Wing VC with similar participants).
What is Billables AI?
The company, founded in 2023 (with seed announced in late 2025), positions itself as an AI native operational intelligence platform for law firms. Its core product automates timekeeping by passively capturing attorney workflows through secure API integrations with tools like Microsoft 365, Google Workspace, Zoom, Adobe, and major practice management systems (e.g., Clio, MyCase, SurePoint, Centerbase, Litify, LeanLaw). It generates billable time entries, narratives, and reports while emphasizing privacy, no screen monitoring or screenshots, with user controlled data access, encryption, and no storage of privileged information.
Billables AI goes beyond basic time tracking to deliver operational insights: productivity and workflow analysis, revenue forecasting, and tracking of AI tool usage for governance and risk management. This addresses key pain points in law firms, manual billing (often 8-12 hours per practitioner monthly), lost billable hours, and the need for data driven decisions amid AI adoption and client pressures.
Key claims from pilots and early data include capturing significantly more billable time (10-30% in early reports), reducing billing admin time dramatically, and strong user adoption due to its “set it and forget it” model with adaptive, personalized AI. The platform integrates deeply into existing ecosystems, making it a natural partner for other legal tech providers rather than a replacement.
The company has achieved rapid early growth, serving hundreds of law firms (with emphasis on midmarket practices of roughly 30-200 attorneys) in under two years. It recently won “Legal Tech Company of the Year” at the 2026 Legalweek Leaders in Tech Law Awards and has announced integrations with platforms like Litify and Centerbase.
This momentum reflects validation in a traditionally conservative legal sector, where timekeeping remains a major friction point and firms seek tools that boost realization rates without disrupting workflows. The API first, privacy centric approach differentiates it from screen monitoring competitors, enhancing security and partnership potential.
Who founded Billables AI?
- Arvind Sujeeth (Co-founder & CEO): PhD from Stanford, enterprise AI experience at SambaNova Systems.
- Nancy Jeng (Co-founder): Background in product marketing at Pinterest and Google.
- Laura Maddox (Founding VP of Engineering): Conversational AI expertise.
- Additional leadership includes sales and customer success hires from Clio, Consilio, and Everlaw.
The team combines deep AI technical expertise with B2B SaaS and legal tech go to market experience, which investors highlight as a strength.
Avenue Growth Partners led the round, drawn to the vision of broader operational intelligence beyond billing. Lead partner Brian Goldsmith noted the platform’s potential as a “system of insight” for firms navigating AI, client demands, and efficiency pressures. Returning seed investors reinforce confidence in the progress.
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Proceeds will fund:
- Accelerated R&D (expanding AI capabilities and insights).
- Go to market expansion (hiring engineers, account executives, sales, and customer success; current team ~10, with plans to roughly double).
- Deeper legal tech partnerships and ecosystem growth.
The legal tech space is heating up around AI, with firms under pressure to improve profitability, compliance, and competitiveness. Billables AI sits at the intersection of time capture (foundational revenue driver) and emerging needs like AI governance and operational analytics. Its focus on midmarket firms (a large, underserved segment) plus integration strategy positions it for scalable growth without heavy sales friction.
Risks and challenges include competition in legal time tracking/ops tools, dependency on integrations, adoption hurdles in larger firms, and the need to prove sustained ROI and expand beyond core timekeeping. However, the quick progression from seed to Series A, strong early metrics, awards, and investor continuity signal solid execution and product market fit.
This funding round underscores Billables AI’s transition from a targeted timekeeping solution to a broader operational platform, capitalizing on AI tailwinds in legal services. With fresh capital and proven traction, the company is well placed to deepen market penetration and innovate further in a sector ripe for modernization.
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