For far too long, managing employee expenses has been a time-consuming process that requires manual data entry and reconciliation to bridge the gap between business bank accounts and ERP systems. In the absence of an integrated workflow, finance teams use multiple systems to manage credit card and cash payments, and finding receipts. In most cases, they also lack real-time visibility into company spending.

The complexity grows exponentially as businesses expand, especially into new regions. Extra administration required to manage new bank accounts, card issuers, and local accounting systems impedes decision making and negatively impacts revenues and growth. Businesses of all sizes struggle with this, but it can be especially challenging for medium to large enterprises.

Payhawk set out to help businesses overcome these challenges when we founded the company in 2018. We combine VISA company cards, reimbursable expenses, and accounts payable into a single product. Our customers can automate manual processes, maximize efficiency, and accelerate business expansion.

Setting up our first cloud cluster in less than a week

To support growth and attract investment we were keen to launch our solution on a scalable, future-proof IT architecture that didn’t require extensive technical support. This is where Google Cloud made a big impression, especially the user interface and documentation which massively reduces the resources required to set up clusters and put them into production.

I’m a CTO, not a DevOps specialist, but in less than a week I was able to set up a secure, reliable operating infrastructure. This enabled us to fast-track our application development and we were able to issue our first card in just eight months. Our Google Cloud partner, Cloud Office also gave us valuable assistance, guiding us through the deployment process and advising on Google Cloud’s extensive range of solutions.

Google Kubernetes Engine (GKE) played a critical role, accelerating the deployment and management of our cloud native applications. We use Cloud SQL as our database while other important tools include Cloud Memorystore, Vision AI, Cloud Storage and Artifact Registry for our wider data storage and application needs. With Firebase we’ve been able to build a notification system for mobile devices.

Another incentive is that most other cloud solutions require add-on services to build and keep your product live. With Google Cloud, all the services that Payhawk needs including logging, metrics, monitoring of resources, and utilization of CPU memory come as standard.

For instance, I was really impressed by Google Cloud’s operations suite, which includes Cloud Logging and Cloud Monitoring. If there are any anomalies in our cloud architecture, we can track and resolve them with minimal disruption to our operations. This also removes the need to invest in an additional observability solution.

Reliability that builds customer trust

Google Cloud also supports Payhawk’s mission to put customers at the center of our organization. Thanks to Google Cloud error reporting and tracking and Google Cloud single sign on, Payhawk’s engineering team can anticipate customer issues and correct them in less than one hour. Trust is everything, and Google Cloud gives us the tools to boost customer satisfaction and build long-term relationships.

As a young business, managing costs is also a priority. The Google for Startups Cloud Program, which includes credits for Google software and tools, enabled us to push the business forward without having to worry about financing our infrastructure, especially in the first year. This gave us breathing room to work through funding, application development, and the onboarding of our first customers.

In addition, Google Cloud gives us confidence that we can grow the business fast. In most months we have seen more than 10% growth — in some cases it’s been 20%. In the first half of 2022, the business doubled in size, but Google Cloud gave us the flexibility to scale our infrastructure, adding storage, memory, and processing power as we onboarded new customers. The pricing model is also generous so that we can grow our revenues while keeping control of operational expenditure.

Since launch we have acquired a valuable mix of customers from startups to large businesses that want to reduce the costs of their expenses programs and increase employee satisfaction. They include ATU, a German automobile servicing company, which has successfully digitized its entire procurement process, and Discordia, a Bulgarian logistics business with 10,000 trucks, which has issued Payhawk cards to all its drivers.

Looking to the future, it’s no exaggeration to say that Google Cloud is a foundation of our business and has given investors confidence in our operations. From a first seeding round of €3 million, early this year we closed a Series B extension of $100 million. This gives us a valuation of $1bn and makes Payhawk the first ever Bulgarian unicorn.

We now operate in 32 countries in Europe and the US, and plan to double our team by the end of the year. It feels like we’ve come a long way since we first started using Google Cloud, and I’m thrilled that we have Google Cloud as a global technology partner supporting our mission to transform expense management and financial operations worldwide.

If you want to learn more about how Google Cloud can help your startup, visit our page here to get more information about our program, and sign up for our communications to get a look at our community activities, digital events, special offers, and more.

Over the past few years, as the education sector was going through transformative change, EdTech startups rose to meet the demand of learners and help address some of the biggest challenges in education. At Google Cloud, we’re inspired by how EdTech startups continue to solve challenges with agility, innovative technology, and determination. We’re proud to help EdTechs make learning more personal, safe, and accessible, and we’re working to connect EdTech startups with the right people, products, and best practices that will help them grow

Announcing a new partnership with StartEd

Google Cloud is excited to announce a partnership to offer mentor-based programming for EdTechs with StartEd — an organization that accelerates education innovators addressing Early Childhood, K-12, HigherEd, Workforce, and Adult Learning. 

Founded by entrepreneurs nearly ten years ago, StartEd is on a mission to attract and develop a network of innovators working to ensure equitable, quality education and lifelong learning opportunities for all. The company trains and connects thousands of diverse entrepreneurs, educators, and investors at for-profit and not-for-profit organizations each year, working alongside corporations, foundations, and higher education institutions across the United States. 

StartEd has helped grow more than 2,500 companies and built a mentor network of over 800 senior leaders with deep expertise in early-stage EdTech companies. The StartEd community now numbers more than 25,000 members. 

“I am thrilled to embark on this transformative partnership with Google Cloud,” said Ash Kaluarachchi, StartEd CEO and managing director. “This alliance not only amplifies our mission to empower and nurture the world’s education innovators at every point in their journey, but it also unlocks unprecedented potential for the entire EdTech ecosystem. Together, we’re poised to redefine the future of education and work and to create lasting, positive impact for generations to come.”

Mentoring and networking opportunities for EdTech startups

Through this partnership, U.S.-based EdTech startups can apply to a new program, StartEd sponsored by Google Cloud. The program offers startups access to personal coaching, hands-on training, business support, and a large network of industry experts to help them accelerate their growth and transform education. Beyond the benefits from StartEd, startups will gain access to cloud credits, technical support from Google Cloud, and coaching from Google’s education leadership.

Apply to StartEd, sponsored by Google Cloud, today.

The music industry is rapidly changing. Only 20 years ago, the availability of music and the infrastructure that was required to make an album a sales success were incredibly complex and expensive. With the decline of physical sales and a fundamental shift to digital, music streaming now accounts for more than half of all sales globally.

At the same time, technology has democratized music-making; in many ways, it has made the musical landscape more diverse. Artists can upload their music with the click of a button. But while it’s easier for creators to share their songs with audiences, getting paid has become more fragmented.

Although music is booming, people no longer buy it outright. Instead, listeners download music digitally or subscribe to streaming services to have their libraries with them at all times. To monetize digital content effectively, artists need to know when, where, and how often their songs are played on each service. To help them navigate this complicated royalties landscape and maximize their profits, Berlin-based international music company BMG provides customized, transparent, and fair services to songwriters and artists.

With publishing and recording divisions under one roof, the subsidiary of international media giant Bertelsmann works with both emerging artists and established stars, including John Legend, Kylie Minogue, Mick Jagger, and Keith Richards. With the MyBMG web and mobile application, clients can view and analyze their royalty details in real time and collect payment. When a new record is released, BMG uses data to maximize its impact and revenue for its creators.

“We make sure that everyone who uses our clients’ music knows who needs to be paid the associated royalties, then we collect these royalties and share them out quickly and transparently,” explains Sebastian Hentzschel, Chief Information Officer at BMG. “When our artists release new music, we make sure that it’s marketed and promoted effectively around the world.”

“We needed a scalable solution for our royalty workloads that was intuitive for our developers. We also wanted a partner, not a client-vendor relationship. With autoscaling via BigQuery, excellent customer support, and a clean and simple user interface, Google Cloud ticks every box for us.”

—Gaurav Mittal, Vice President Group Technology, BMG

Getting up to speed with a new way of paying artists

In this digital world, artists aren’t just paid every time a fan buys an album—they’re paid a small amount, or royalty, for each song downloaded or streamed by a listener. So, when the industry shifted to digital, the volume of data that BMG needed to handle grew exponentially. “One CD sale is equivalent to about 1,500 streamed songs or plays,” says Gaurav Mittal, Vice President Group Technology at BMG. “That means IT departments have to process 1,500 times the amount of data to calculate payments for artists, and this makes scalable micropayment processing very important.”

Until 2019, BMG’s infrastructure was entirely hosted on-premises. Hardware limitations made it challenging to scale on-demand, making it harder to handle the data peaks that royalty processing can bring. “With our on-premises infrastructure, we were going to hit a ceiling in a few years,” says Gaurav. “We still managed to process royalty payments for our clients, but it was increasingly time consuming and expensive. To keep focusing on our clients, rather than our infrastructure, we decided to migrate to Google Cloud.”

From the outset, Gaurav and his team had a clear vision for the partnership: “Most importantly, we needed a scalable solution for our royalty workloads that was intuitive for our developers. We also wanted a partner, not a client-vendor relationship,” he says. “With autoscaling via BigQuery, excellent customer support, and a clean and simple user interface, Google Cloud ticks every box for us.”

Keeping artists happy with business-as-usual payouts during migration

To move applications to the cloud while keeping payment cycles on track for its artists, BMG teamed up with Google Cloud partner Rackspace Technology. “We selected Rackspace Technology because it combines strong technical muscle and a global footprint, with the customer service of a local boutique firm,“ shares Gaurav.

BMG’s own technology team put together the outline for the Google Cloud architecture, which they passed on to Rackspace Technology for optimizations and the ultimate stamp of approval. Whenever Gaurav and his developers needed support, Rackspace Technology was ready to go. “So far, we’ve migrated 17 applications successfully, and Rackspace Technology has been 100% spot-on with each suggestion,” says Gaurav. “I can’t recall a single flaw in a Rackspace Technology-approved architecture, and that really says something.”

When BMG began its migration in August 2019, the team developed an ambitious two-year plan. Only 14 months later, however, the project is more than 75% complete. Among the solutions that BMG is using today are Cloud Storage to securely store 130 TB of data, and Cloud SQL as its standard database technology. The web applications run on Compute Engine, App Engine, and Google Kubernetes Engine.

“After successfully moving a few applications, it was clear that with the strong teamwork of BMG and Rackspace Technology, together with the ease of use of Google Cloud, we could speed up the project without sacrificing quality,” says Gaurav. “We’re set to complete our migration six months before schedule, helping us to quickly move out of our hybrid environment.”

“Our income-tracking teams are very savvy on the data, and the simplicity of Google Cloud empowers them to self-serve analytics, rather than wait for IT. Our teams are much more productive.”

—Gaurav Mittal, Vice President Group Technology at BMG

Royalty reporting and processing with BigQuery and Dataproc

So far, all of BMG’s critical workloads are up and running on Google Cloud. Royalty calculations, for example, which require incredible processing power and the collection of many micropayments to ensure full and timely payout, run entirely on Dataproc with output stored on BigQuery for downstream integration and reporting.

Enabling more harmonious workflows through self-serve analytics

As the new beating heart of BMG’s royalty reporting, BigQuery changed the rhythm of collaboration company-wide. In the past, income tracking teams had to contact IT departments if they needed deeper data insights for their work. By integrating Data Catalog with BigQuery, BMG has made the data more accessible to all teams. This helps them detect missing income and new revenue streams independently, maximizing profits for artists.

“Our income-tracking teams are very savvy on the data, and the simplicity of Google Cloud empowers them to self-serve analytics, rather than wait for IT,” says Gaurav. “Our teams are much more productive.”

“Google Cloud enables us to be more client focused and deliver better features faster. We believe it’s just the beginning. We offer rights and royalty services for music publishing, recorded music, neighboring rights, and books. Without scalability limitations, it’s absolutely conceivable to offer our platform as a service to other companies or industries, such as gaming. Google Cloud has opened a world of possibilities.”

—Sebastian Hentzschel, Chief Information Officer, BMG

With a leaner IT environment, BMG can focus its effort on the needs of its clients. Beyond improvements in royalty processing, it can concentrate on app development, releasing new features and enhancements more frequently. By hosting applications on Google Kubernetes Engine, App Engine, and Compute Engine, BMG has built a CI/CD pipeline with automated deployments and testing to significantly speed up workflows.

“In our old system, it could take several weeks to set up an environment,” says Gaurav. “With Google Kubernetes Engine, any of our developers can complete the process in a few clicks. Having that autonomy makes our developers more motivated and self-driven.”

“Google Cloud enables us to be more client focused and deliver better features faster,” adds Sebastian. “We believe it’s just the beginning. We offer rights and royalty services for music publishing, recorded music, neighboring rights, and books. Without scalability limitations, it’s absolutely conceivable to offer our platform as a service to other companies or industries, such as gaming. Google Cloud has opened a world of possibilities.”

With the migration almost complete, BMG is looking forward to its next technology project. It plans to leverage AutoML to further scale and automate royalty tracking with machine learning. On the marketing side, advanced analytics will help BMG determine the effectiveness of promotional campaigns around the world, further increasing profits for artists. By connecting Google Data Studio to BigQuery, BMG will increase the quality of its analyses, helping musicians better understand the reach of their music around the world.

In the end, Gaurav shares, helping musicians is what it all comes down to. “We’re a new kind of music company because we build our services around our artist, songwriter, and publisher clients, not the other way around,” he says. “Google Cloud is helping us maintain strong relationships with our clients, and that’s music to our ears.”