Magnetic

Magnetic is building an AI tax preparer for CPA firms. Our software scans client documents - from handwritten charity notes to excel spreadsheet Schedule Cs to multi-state K-1s - and enters them into tax software automatically, saving hours of tedious data entry.

The accounting profession is facing a massive talent shortage, as graduates choose different professions and the old guard begins to retire. As a result, CPA and tax preparation firms are awash in clientele, but unable to keep up. At many firms, phones go unanswered, clients are "fired", and websites are taken down, as the existing workforce tries to handle the grueling 80 hour+ weeks necessary to push through tax season to the April 15th deadline.

We built this because a former colleague who owns her own tax firm asked us to automate her workload, and we quickly realized the massive opportunity. Thomas brings deep domain expertise as the former Head of Product at Keeper (YC W19), where he built tax engine automation systems and an OCR form scanning system that outperformed everything else on the market. At Keeper, he leveraged early access to OpenAI's LLMs (well before ChatGPT) to build systems that automated the entire tax filing process, allowing a tiny team of CPAs to process thousands of returns with near zero busy work. Patrick was the first engineer at FunCraft, shipping multiple mobile games with 1M+ downloads and building scalable shared codebases. We've worked together since 2017, including co-leading multiple teams at Zynga as PM & Tech Lead respectively.

We launched publicly in 2025 and have quickly grown to hundreds of thousands in ARR across many dozens of firms. We've completely automated over 25% of the return process so far and developed a proprietary vision model that beats incumbent scanning technology by almost 2x on accuracy. We raised $5.2M from top investors and are quickly growing our team in San Francisco.

The opportunity is massive - there are 80M US personal tax returns filed via professionals annually, in a $2B outsourcing market where individual CPA firms currently pay $100k-$1M per year for inferior services. We're positioned to capture significant market share by offering better accuracy & document coverage, instant processing, and superior user experience.

You'll be working to automate one of the most tedious and detail-oriented processes in the world. If you are successful, you will be saving thousands of CPAs the pain of 100-hour weeks starting at tiny numbers on a screen. The bar for quality is extremely high: mistakes cost real money and someone could even lose their job. To accomplish this, you'll be working at the cutting edge of AI agents, OCR, VLMs, and UI automation with an incredibly passionate team.