Avalara Appoints Hugo Sarrazin as New Chief Executive Officer to Drive AI-Driven Growth

Avalara Names Hugo Sarrazin as CEO

In a significant leadership transition, Avalara, Inc. has appointed Hugo Sarrazin as its new Chief Executive Officer, effective immediately. This change comes as the company aims to further enhance its AI-driven innovation in the realm of global tax and compliance. Hugo Sarrazin succeeds co-founder Scott McFarlane, who will transition into an advisory role to support Avalara's ongoing success.

A Focus on Growth and Innovation

Hugo Sarrazin is expected to play a pivotal role in steering Avalara’s global operations and strategy. His emphasis will be on scaling the business, improving execution, and enhancing the company’s innovation capabilities. This strategic shift will help Avalara sharpen its focus on its next phase of growth while ensuring continuity in its leadership.

Sarrazin expressed excitement about joining Avalara, stating, “I’m thrilled to join a leader for tax and compliance that leverages proprietary data and deep domain expertise to deliver intelligent, dynamic solutions for customers worldwide.” He acknowledges Avalara's significant position in defining how AI agents can automate and simplify compliance processes at a global scale, marking a critical moment for advancing innovation in the industry.

An Impressive Track Record

With over 30 years of experience in building and scaling global software and technology businesses, Sarrazin brings a wealth of knowledge and expertise to the role. He most recently served as President and CEO of Udemy, where he was instrumental in scaling the business through innovative product strategies and leading the company through its acquisition by Coursera.

Before his tenure at Udemy, Sarrazin held key positions at UKG, where he played a critical role in cloud transformation initiatives and helped enhance AI-driven solutions. Additionally, he has a long-standing history at McKinsey & Company, where he advised numerous global organizations on digital transformation and mergers and acquisitions. His deep technological insight and operational leadership are viewed as essential for driving Avalara’s next chapter.

Scott McFarlane's Legacy

Scott McFarlane, who co-founded Avalara in 2004, has led the company for more than two decades. Under his direction, Avalara evolved from a startup based in Bainbridge Island, Washington, into a globally recognized leader in tax compliance. The company currently supports over a million businesses and has transformed into an AI-first platform boasting $1.3 billion in annual revenue and a robust ecosystem of integrations across ERP, eCommerce, and financial systems.

Reflecting on his departure, McFarlane stated, “Avalara is stronger today than at any point in our history. We’ve built a category leader with real scale and a platform that’s becoming more critical as tax and compliance grow more complex.” His vision established a solid foundation on which Sarrazin can further accelerate growth.

The Future of Tax and Compliance

Avalara continues to lead the evolution of tax and compliance through AI-driven innovations. The company’s platform processes tens of billions of transactions annually, enhancing accuracy and efficiency for businesses navigating the complexity of global regulations. This includes innovations such as the Agentic Tax and Compliance™ and the Avalara LLM framework, which embed AI directly into the compliance lifecycle, streamlining processes for better and more timely results.

In summary, with Hugo Sarrazin taking the helm as CEO, Avalara is poised for an exciting phase as it enhances its leadership in tax automation and compliance solutions while continuing to leverage the power of AI.