Discern has raised $10 million in Series A funding to expand its software-first registered agent platform, which automates state filings and centralizes legal entity management for companies operating across multiple jurisdictions. The round was led by Walkabout Ventures and Bungalow Capital, bringing the company’s total funding to $17.5 million after Discern reported fourfold annual recurring revenue growth during 2025. The financing follows rapid commercial expansion, with the company serving more than 800 customers, including Vestwell, Accolade Partners, IA Ventures, public companies, large asset managers, and regulated businesses.
Addressing a Fragmented Compliance Process
Companies with operations in several states must manage recurring reports, registrations, tax obligations, deadlines, and registered agent requirements that vary across jurisdictions and are often tracked through disconnected spreadsheets, emails, and service providers. Discern positions its platform as a centralized system of record that gives finance and legal teams a complete view of every entity they control, while automating filings, payments, document delivery, and compliance updates. The company said customer demand has accelerated as remote work and increasingly distributed business operations have created additional state-level obligations for organizations without permanent offices in every market.
Growing Enterprise Adoption
Discern more than doubled its customer base during the first five months of 2026, supported by adoption among organizations managing complex entity structures and regulated operations. Vestwell, a retirement services platform overseeing more than $50 billion in savings, uses the software to manage compliance for seven regulated entities and monitor the status of state registrations in real time. Accolade Partners also adopted the platform after compliance lapses under a previous provider, with Discern reportedly reducing the firm’s entity compliance project time by 80 percent.
Automating Entity Management
Alongside its registered agent service, Discern provides an entity management platform without a separate software fee, combining records, filing schedules, payment methods, and state correspondence in one system. The company has digitized more than 10,000 government filings across hundreds of United States jurisdictions and says its customers reduce the time spent on filing-related work by more than 90 percent. Its tools cover annual reports, formations, foreign registrations, amendments, reinstatements, dissolutions, franchise tax filings, and other Secretary of State processes, while automatically reusing previously entered information.
Product Development and Security
Recent product additions include automated Delaware franchise tax filings that allow teams to submit filings for hundreds of entities through a single workflow and assign each payment to the appropriate account. Discern also supports automated deadline tracking, document delivery, role-based access controls, single sign-on, audit logs, and payment coordination, features designed for finance and legal teams responsible for large corporate structures. The platform is SOC 2 Type 2 certified, an important requirement for customers handling sensitive legal, financial, and corporate information across multiple internal departments.
Funding Expansion Plans
Discern plans to use the Series A proceeds to expand its operations and engineering teams as it responds to rising demand and develops additional registered agent capabilities. Co-founder and Chief Executive Officer Raj Patel said the company was created to shift the registered agent market toward the in-house professionals who directly manage entity compliance, rather than prioritizing referral relationships with law firms. Walkabout Ventures General Partner Josh Diamond said the investor was attracted by Discern’s enterprise customer base and the willingness of sophisticated organizations to replace long-standing infrastructure providers with the company’s platform.
Discern’s funding round highlights growing investor interest in software that modernizes administrative and regulatory processes that remain heavily dependent on manual work and legacy service providers. By combining registered agent services with automated filings and a centralized entity record, the company is seeking to become core infrastructure for finance, legal, and compliance teams managing increasingly complicated corporate footprints. The new capital will support that strategy as Discern expands its workforce, deepens its product capabilities, and attempts to convert rapid early adoption into a larger share of the legal entity management market.