Software as a service (SaaS) e-commerce accounting firm Webgility Inc. has raised $2.5 million in growth funding from SaaS Capital.

The investment is the first investment from SaaS Capital’s second fund of $58 million it announced March 5th. The firm doesn’t provide traditional venture capital, but capital to startups in a fashion that is an alternative to a round of equity or traditional senior debt.

Webgility was founded in 2007 and helps automate accounting for small to medium enterprises (SMEs.) Their SaaS software synchronizes financial data in any application with accounting systems such as those provided by Inuit Inc.’s QuickBooks and Xero Ltd., and is said to allow SMEs to save on bookkeeping, simplify compliance, and gain insights on how to optimize operations and grow their business.

The platform also works with e-commerce platforms including Bigcommerce, Magento, commerce guys, cs.cart, X-Cart, Volusion, Yahoo and WooCommerce.

“This funding from SaaS Capital will be instrumental as we continue to build momentum,” Founder and CEO of Webgility Parag Mamnani said in a statement sent to SiliconANGLE. “This is our first institutional investment and although we received several outside funding offers…working with SaaS Capital we’re able to avoid both the strict requirements of traditional bank financing and the ownership dilution that comes with an equity investor.”

It’s always interesting to see a successful company that has been bootstrapped since 2007 take on money when it’s actually profitable, a word that’s not always known in Silicon Valley, or San Francisco, where Webgility is based. As we noted in our coverage of SaaS Capital’s model previously, and noted here by Webgility’s CEO, the funding model does work for companies that aren’t interested in selling their souls for large chunks of equity, but likewise want to bring in some working capital to grow the business.

Webgility said it would use the funds to increase headcount, ramp up product development, and expand into new vertical markets.