Subscription management platform Recurly is wrapping up September in style. Last week the San Francisco-based startup announced it raised $19.5 million in Series C funding. This brings its total venture capital raised to date to $39.1 million, according to Crunchbase. The latest funding round was led by F-Prime Capital with additional investments from Silicon Valley Bank, Polaris Partners and Greycroft.
Venture Beat reports Recurly will use the money to pay for research and development and expansion of the companys sales and marketing divisions. Two new executives are joining the Recurly team, as part of this funding round – Tony Allen as chief technology officer and Shane Oren as senior vice president of sales.
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The subscription commerce market is undergoing a dramatic shift as consumer purchasing behaviors are quickly evolving to expect flexible, pay-as-you-go models from their favorite brands, said CEO and co-founder Dan Burkhart in a statement. We are excited about the role that our company plays in helping these high growth brands to innovate with subscriptions in a way that delights their customers while delivering breakout results against their competitors.
Shervin Ghaemmaghami, senior vice president for F-Prime Capital, explained the companys investment in Recurly.
Recurly has provided the billing automation platform behind the success of thousands of major subscription success stories. We see a tremendous opportunity in building upon this leadership to power the success of the rapidly growing subscription commerce market, Ghaemmaghami said.
Recurlys last funding round – Series B – was closed in October 2014 for $12 million. That found was led by Devonshire Investors. During that round, Ghaemmaghami joined the Recurly board. He remains on the board.
Recurly was founded in 2009 by Burkhart, Isaac Hall and Tim Van Loan. Since then, the company has signed on thousands of customers, processed billions of credit card transactions and recovered more than $450 million in revenue. Their customers span every category including subscription boxes and software as a service to streaming media and healthcare and education companies. Their customers include:
- Sprout Social
- Sling Television
- AMC Networks
- Bark Box
Using artificial intelligence to inform and fuel its work, Recurly offers subscription management services (plan management, upselling, trials, coupons and discounting, gift subscriptions, subscriber lifecycle management), payment options (payment gateways, payment options, hosted payment pages, mobile solutions, fraud management) and billing and accounting services (billing models, invoices, taxes, integrations, accounts receivable reporting, revenue recognition). With this array of services, Recurly has become a go to solution for many well-known subscription companies.
Though Recurly is 10 years old, it continues to evolve to better serve its B2B customers, adding new products, features and partnerships to the mix. This latest round of funding – which represents half of all its venture capital raised to date – is evidence that the subscription community continues to find value in what they do. Looking at the depth and breadth of their services, Recurly makes subscription management easy for companies, so they can direct their resources elsewhere.