Lavante racks up $5M for vendor communication services

Lavante, a company that automates communication between vendors and major companies to prevent transaction errors and losses, has taken in $5 million in second-round funding from Venrock and ATA Ventures. Based in San Jose, Calif., the firm, previously known as AuditSolutions, plans to use the new money for continued product development.

It claims its software can help Fortune 1000 companies recover three times as much cash as they can using manual or other auditing options. The system also lets companies keep track of their full roster of vendors more easily — a major challenge for multinational corporations that procure items from thousands of outside companies.

Despite the recession, Lavante’s business grew 90 percent from last year at this time. It has raised $10 million to date.

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