Software subscription management platform SaaSOptics has raised a $12 million Series B round led by growth equity firm Fulcrum Equity Partners.
The Atlanta-based company says this comes at the tail end of a high-growth 2019 which saw 70 percent ARR growth in Q3 over Q2.
“We continue to see increased demand for our subscription management platform due to the explosion of SaaS and cloud-based businesses being funded at such a rapid rate, in addition to venture capital and private equity firms coming further down-market to fund businesses at a much early stage,” CEO Tim McCormick tells Hypepotamus.
This funding will be used to scale the sales, marketing, and customer success teams to meet strong customer demand.
“We also plan to continue growing our product and engineering teams to expand our total addressable market with new, innovative features and functions,” says McCormick.
SaaSOptics’ cloud-based platform enables SaaS companies to streamline revenue reporting, payment collection, financial operations and analytics.
It helps teams skip time-consuming spreadsheets and streamline their processes before scaling even further. The platform also integrates with popular financial systems.
McCormick shares that their addressable market is growing further as legacy software companies change to a SaaS model.
“The subscription model has experienced explosive adoption,” he says. According to SaaSOptics, 84 percent of new software today is delivered on a subscription basis. By next year, it’s expected that more than 80 percent of software providers in total are subscription-based.
Fulcrum Equity Partners also led SaaSOptics’ Series A round of $5 million in January 2018. To date, the company has raised $18.8 million in total.
That funding and revenue growth has helped the company add close to 50 new employees in the past year and a half for a total of 78. Over the next 12-18 months, they will add 30-40 more across all departments.
“Someone who will strive for excellence with customers and teammates, has a commitment to growth in all areas: professional growth, growth in customer success, growth in innovation leading to customer satisfaction,” McCormick told Hypepotamus in 2018 about what he looks in new hires.
SaaSOptics’ platform currently manages clients worth over $6 billion in revenue in total. More than 600 customers have used its data, metrics, and analytics reporting features.