Digital Insight, an Internet home banking software provider, has received $8 million of venture capital to expand its business.
HarbourVest Partners of Boston is providing $5 million, and Menlo Ventures of Menlo Park, Calif., is investing $3 million. Menlo Ventures also invested $3 million in Camarillo, Calif.-based Digital Insight last year.
Digital Insight may use the capital infusion to open more offices and acquire companies, said Paul Fiore, president and chief executive officer. He declined to release revenue figures.
The capital injection will allow Digital Insight to build its product base, said Meridien Research Inc. analyst Octavio Marenzi. The company, however, must face three dozen competitors in a market too small to accommodate them all, he said.
Last year, the company acquired RJE Internet Services, a bank Web site creator, and opened sales offices in Atlanta, Chicago, and Dallas.
The privately held concern supplies home banking software and Web site design services to 267 financial institutions, mostly credit unions.
About 130 institutions use its technology for on-line cash management, stock quotes, account information, and bill payment services.
The company, founded in 1995, is not profitable yet, but its revenues are said to be growing by 300% to 400% annually.