Canoe and K1x Announce Partnership to Create End-to-End Tax Solutions for Alternative Investors
NEW YORK, December 19, 2023 – Canoe Intelligence (“Canoe”), the financial technology company powering alternative investment intelligence for institutional investors, capital allocators, wealth managers, and asset servicing firms, and K1x, the leading data distribution platform for alternative investments, today announced a new partnership that supports tax data management workflows.
This announcement follows the recent launch of Canoe Tax for streamlined tax document workflows. Canoe Tax streamlines the management of common tax documents, including Form 1099, Form 8621, Form ADV, state and federal K-1 and K-3, among others. Canoe collects tax forms through Canoe Connect and extracts data, including the information on page one of the Schedule K-1 form, on behalf of many Canoe Tax clients.
Through this partnership, Canoe and K1x are providing clients with an end-to-end K-1 solution. For clients seeking to automate data extraction and analysis from additional documents or pages, and needing integrations to leading tax software, K1x manages that process digitally.
Mutual clients can leverage existing Canoe platform features to export their collected tax documents for use with the K-1 Analyzer platform from K1x. Using AI-powered automation, K-1 Analyzer reads and extracts the entire PDF of K-1 data, including all 1200 fields of the K-3, turning unstructured PDF data into structured data for analysis and integration into downstream systems.
K1x was founded by accountants who wanted to change the status quo of manual tax workflows. As part of their innovation, they have created three patents pending approval built on AI and automation to solve the alternative investment tax data digitization and distribution problem. The company supports more than 8,000 organizations, including 31 of the top 100 institutional investors, 15 of the top 25 accounting firms, and 10 of the top 50 private foundations and family offices.
“From our point of view, this partnership between Canoe and K1x is a no-brainer. Our technology was designed by CPAs who were frustrated by the highly manual, existing state of affairs. Tax compliance professionals were manually copying PDF K-1 and 990 data, pasting into tax software, and separately pasting again into XLS spreadsheets for analysis,” said John LaMancuso, CEO of K1x. “Canoe is already collecting K-1 forms and extracting data from page one data, and we offer a way to digitize the processing of all K-1 data for tax preparation use cases. To be able to offer an end-to-end solution is a win for all parties—mutual clients in particular.”
Over 275 institutional investors, asset servicers, capital allocators, and wealth managers leverage Canoe Intelligence to automate their most time-consuming manual alternative investment processes. The Canoe Partner Program is designed to create a seamless experience for clients with a system-agnostic, client-first approach to integrations.
“We’re thrilled to be working with K1x, a leader in the tax document data extraction space that shares a similar mission to Canoe and serves a similar audience. They’re a natural fit within our ecosystem and our clients’ workflows, going the extra mile for users with sophisticated downstream tax needs,” said Kim Raymonde, Director of Partnerships and Integrations at Canoe Intelligence. “Through the Canoe Partner Program, we plan to collaborate with K1x in developing an integration. Our ultimate goal is to further streamline the ingestion of documents collected and categorized by Canoe into K-1 Analyzer for additional review and action.”
Canoe also shared numerous product suite expansions earlier this quarter, including Canoe Pro, a comprehensive solution that integrates expert services into the client experience, and plans to develop and deliver Canoe Asset Data through a design partnership with 13 existing clients.
These product development programs build upon Canoe’s recent successes, including 100% year-over-year growth and a strategic $25 million Series B financing round in February 2023. Canoe continues to advance operational excellence through the expansion of its platform and product suite, exemplifying its commitment to innovation and industry-leading product development in the alternative investment industry.
About Canoe Intelligence
Canoe Intelligence (“Canoe”) is a financial technology company dedicated to advancing alternative investment intelligence for institutional investors, capital allocators, wealth managers, and asset servicing firms. Canoe empowers clients with technology, data, and insights to manage alternative assets more efficiently, accurately, and confidently. With a commitment to innovation and excellence, Canoe is redefining the future of alternative investment data management.
K1x is the leading data distribution platform for alternative investments. The fintech company’s AI-powered SaaS solution digitizes and distributes data seamlessly–connecting investors, advisors, tax software, portals, accounting firms, IRS and state taxing authorities–simplifying complex processes, accelerating filings, reducing costs, and delivering greater control, transparency, and accessibility. K1x is trusted by more than 8000 organizations including 31 of 100 largest institutional investors in the US, 15 of the top 25 accounting firms, 8 of the top 100 private foundations, 26 of the top 100 university endowments, and 7 of the top 40 health systems.
Betsy Miller Daitch