Toronto-based Blue J, which provides artificial intelligence (AI)-powered tax research software, has raised a $122-million USD ($167.4-million CAD) Series D round on the heels of rapid growth.
The round was led by American venture capital firms Oak HC/FT and Sapphire Ventures, with participation from Toronto-based Intrepid Growth Partners as well as returning investors Ten Coves Capital and the Association of International Certified Professional Accountants’ business subsidiary CPA.com.
Blue J now serves more than 2,500 organizations, up from 200 in 2021.
Around $161 million CAD came from investors outside of Canada, and just under $6.4 million CAD came from Canadian investors, according to SEDAR filings. The Globe and Mail reported that the round valued the company at more than $300 million USD ($413 million CAD).
The company claims the raise follows significant growth in the first half of 2025, which included more than doubling its revenue and customer base, as well as increasing its headcount to more than 80 employees.
Lead investor Oak HC/FT said Blue J now serves more than 2,500 organizations, including big accounting names like KPMG, RSM, Crowe, and Larson Gross. Oak claimed that the company has had two consecutive years of tripling its annual recurring revenue (ARR) growth, with more than 50 percent of its ARR tied to multi-year contracts.
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Founded in 2015 by CEO Benjamin Alarie, CTO Brett Janssen, Anthony Niblett, and Albert Yoon, Blue J aims to make the law more transparent and accessible for tax practitioners. Using OpenAI’s large language models, Blue J claims its platform can answer questions about federal, state, and local taxes in the United States as well as Canadian and United Kingdom tax law. The company previously raised an $11.3 million Series B in 2021, when it had 65 employees and more than 200 customers.
Blue J said it would use its latest funding to accelerate its team expansion, product development, and market reach. The Series D round comes just seven months after Blue J closed an undisclosed Series C investment led by Ten Coves Capital in December 2024, which the company said it would use to facilitate global expansion and enhance its AI capabilities. Blue J disclosed an $8.3-million CAD investment from outside of Canada in SEDAR filings from December, as well as a $1.4 million raise in early January 2025.
Blue J became the preferred partner solution for CPA.com earlier this year, not too long after striking a similar partnership with CPA Canada. The two organizations represent more than 600,000 professional accountants across North America combined.
Feature image courtesy Stellrweb via Unsplash.