Startup News: Key Lessons and Examples from Internet Backyard’s $4.5M Investment to Revolutionize Billing Software in 2025

Discover how tech leaders are revolutionizing billing software for data centers, meeting the rising AI demands with innovative solutions for seamless financial automation.

F/MS BLOG - Startup News: Key Lessons and Examples from Internet Backyard’s $4.5M Investment to Revolutionize Billing Software in 2025 (F/MS Europe, Tech leaders invest in new startup building billing software for data centers)

In 2025, the rapid scaling of AI, cloud services, and data center infrastructure has brought unique challenges to financial operations. As a startup founder with years of experience navigating emerging tech, I find the recent investment trends particularly intriguing. The latest example is Internet Backyard, a startup aiming to solve billing hurdles in the AI compute sector with its platform, gnomos.

Let’s explore the key aspects of this development and why it matters for entrepreneurs interested in tackling infrastructure challenges.


Why This Matters?

The AI boom has accelerated demand for robust data center operations, but managing the financial side of infrastructure usage remains a headache for operators and customers alike. Manual methods like spreadsheets fail to scale. Internet Backyard’s approach, automating billing for GPU and cloud resources, is solving problems that impact revenue integrity and operational transparency.

This initiative marks a shift toward specialized software solutions designed for increasingly complex infrastructures. As startups and smaller players compete against hyperscalers, tools like gnomos are becoming critical.


Investment Highlights

The startup recently announced a $4.5 million pre-seed funding round, led by Basis Set Ventures. Investors include Crucible Capital, Maple VC, and Operator Collective. Notable angels, such as Jay Adelson, Co-founder of Equinix, and Geordie Rose, a veteran from D-Wave, signal rising interest in infrastructure finance optimization.

The backing reflects the broader industry push to modernize financial practices within highly technical ecosystems. According to data from GeekWire, institutional investment into AI-related billing and operational SaaS tools has doubled since early 2024.


Why Founders Should Care

This startup isn’t just targeting big players; it could open doors for SMBs and startups struggling to track infrastructure expenses. If other SaaS providers follow suit, we’ll see a growing number of tools simplifying financial operations for emerging tech companies.

For entrepreneurs building software in niche industries, this proves one thing: there’s plenty of room for new solutions targeting overlooked pain points. If you’re strategizing your next move, consider where automation and SaaS can meet growing technical demands.


How to Leverage Similar Opportunities

Building solutions for specialized industries doesn’t have to mean substantial upfront investment. As someone who’s run several startups with limited resources, my advice revolves around testing demand before scaling.

Here’s a step-by-step process to approach projects similar to Internet Backyard:

1. Identify the Pain Points

Talk to small operators and mid-sized players in industries with rapid growth, such as AI compute or renewable energy. Often, they’re the ones feeling gaps in current software offerings.

2. Build Lean

Start with basic prototypes or MVPs rather than committing to years of full development. Learn what features drive real value by testing within niche markets before expanding.

3. Engage Sector Experts

Instead of guessing, work directly with domain specialists. Many will validate your project and even help attract early backers. Remember how Internet Backyard secured angels from companies like Apple and Tesla, network matters.

4. Track Funding Sources

Moving from pre-seed to seed stage requires clarity. Use platforms like StartupMonitor or Crunchbase to research investors focused on infrastructure tech.
Check out Breakers, one of Internet Backyard’s funders, if you’re a U.S.-based startup.


Common Mistakes To Avoid

Entrepreneurs often overlook crucial aspects when launching SaaS aimed at technical markets. Based on my experience running deep tech startups, here are three mistakes you should sidestep:

1. Overcomplicated Interfaces

Software targeted toward industries like infrastructure often turns overly complex. Make sure your product is user-friendly upfront, especially during the first design phase. Simplicity wins.

2. Ignoring Niche Users

Too many founders direct their SaaS solutions solely at large enterprises and forget the smaller niche users who need their product more urgently. Don't neglect underserved markets.

3. Failing To Focus Early Metrics

Collect feedback and engagement data instead of relying on generic growth numbers. Saw this firsthand; understanding user feedback drives product iterations faster than any pie-in-the-sky vision.


Insights from a Serial Entrepreneur

As I examine case studies like Internet Backyard, one realization keeps resurfacing: there’s nothing casual about solving infrastructure challenges. These startups succeed because they deeply understand the operational complexities users face.

Their pre-seed round success shows there’s untapped opportunity for thinking beyond the usual SaaS template. From a founder's perspective, I recommend putting user needs at the center when designing for niche technical users.


Useful Conclusion

For startup founders diving into infrastructure SaaS, Internet Backyard offers an inspiring example of solving real-world bottlenecks. More importantly, its move into automated financial tools next confirms what AI compute has been hinting at for years: disruption isn’t always big. Sometimes it starts small and focused.

Take your time assessing similar gaps in fast-growing markets. Specialized solutions tailored to detailed needs can spark real change … and bigger funding.


FAQ

1. What is Internet Backyard’s main focus?
Internet Backyard focuses on automating billing for data center operators and customers managing GPU and cloud usage, addressing financial infrastructure challenges in the AI compute sector. Learn more about Internet Backyard

2. What does Internet Backyard’s platform, gnomos, do?
Gnomos is a platform that automates the order-to-cash process for billing infrastructure usage, replacing manual workflows such as spreadsheets. Explore gnomos

3. How much funding did Internet Backyard secure and who led the round?
Internet Backyard raised $4.5 million in a pre-seed funding round, led by Basis Set Ventures. Learn more about the funding

4. Who are the notable angel investors backing Internet Backyard?
Key angel investors include Jay Adelson (Co-founder of Equinix) and Geordie Rose (Founder of D-Wave and Sanctuary AI). Find out more about the investors

5. Why is Internet Backyard important for entrepreneurs?
It highlights the emerging opportunity for SaaS solutions targeting overlooked infrastructure gaps in niche industries like data center billing and AI compute. Learn why founders should care

6. What challenges does Internet Backyard aim to solve?
It addresses billing transparency and revenue integrity issues caused by outdated manual processes in the AI compute and data center industries. Discover the problem-solving approach

7. Who are the founders of Internet Backyard?
Internet Backyard was founded by Mai Trinh, former Technical Project Manager at Sanctuary AI, and Gabriel Ravacci, an engineering graduate with experience at AMD. Meet the team

8. How does Internet Backyard plan to monetize its service?
It earns revenue through recovered invoice percentages, fees for routed payment flows, and licensing industry usage data. Learn about their revenue model

9. What is the broader industry trend driving Internet Backyard’s development?
The boom in AI, cloud services, and data center expansions is increasing demand for specialized billing and financial infrastructure solutions. Explore industry insights

10. Where is Internet Backyard based, and what plans does it have for the future?
Internet Backyard, initially founded in Vancouver, B.C., is relocating to San Francisco for further development and scaling of its gnomos platform. See relocation details

About the Author

Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.

Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain

Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.

CAD Sector:

  • Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
  • She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
  • Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.

IP Protection:

  • Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
  • She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
  • Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.

Blockchain:

  • Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
  • She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
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Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).

She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond, launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks and is building MELA AI to help local restaurants in Malta get more visibility online.

For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about the best hotels in Italy to work from.

About the Publication

Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch.

Mission and Purpose

Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.

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Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.

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