Avalara raises $96 million from existing investors to expand its cloud-based tax service

Seattle-based Avalara said today it had raised another round of $96 million, bringing its overall fundraising total to $300 million.

The company, which offers a cloud-based tax compliance system for businesses, said the latest round includes $46 million to “repurchase shares from early investors.” The balance will be used for growth and possible acquisitions.

“We are gratified by our investors’ continued support and commitment to Avalara,” said Scott McFarlane, founder and CEO of the company, in a statement. “This financing offers some long-term individual shareholders a liquidity event, while enabling more recent institutional investors to increase their stake.”

Participants in this round include Warburg Pincus, Technology Crossover Ventures, and Sageview Capital