Vertice, an integrated SaaS and cloud spend management platform, has announced a €23 million Series B following a year of lightning-fast revenue growth. 83North and Bessemer Venture Partners, who were the lead investors in the company’s Series A, have returned with $25 million in additional funding after seeing Vertice achieve 7x growth in ARR in 2023.
Vertice’s growth has been achieved with tremendous capital efficiency. Former Wandera and ScanSafe founders Roy and Eldar Tuvey were able to opt for a fundraise that would support their ambitious expansion plans while staying true to the company’s ethos of responsible spending. This latest funding round increases its total available cash reserves to $40 million.
The company has now raised a total of $51 million since January 2022, upping its valuation into the hundreds of millions. Vertice will use the capital to further fuel its pace of product innovation and accelerate its worldwide expansion.
“Two years ago we had passion, funding and a clear product vision, but no proof that Vertice would be this kind of success story. Since then, it has been incredibly validating to see such a tight product-market fit, with customers achieving cost savings that are flowing directly to their bottom lines,” said Roy Tuvey, founder and CEO at Vertice. “This next chapter will be about scaling into a business with a break-out trajectory and I have total conviction we will do so. Our name comes from being in our customers’ corner and we are resolute in helping them operate more efficiently through the headwinds in the global economy.”
Vertice manages over $1.1 billion in software and cloud spend for hundreds of companies in over 30 countries spanning every sector of the economy. Customers are choosing Vertice to automate their procurement workflows, improve their operational efficiency and get granular visibility into their software and cloud spend.
In recent years, software and cloud costs have become the fastest growing expense category for companies and the second largest line item behind payroll. Vertice’s mission is to put finance and procurement leaders in control of these costs, saving them 25% on their SaaS and cloud spend.
In 2023, Vertice confirmed its leadership position in the category with the release of a number of product modules that make it easier for enterprises to visualize and control spending. It launched its Cloud Cost Optimization offering, making Vertice the only platform globally that tackles both SaaS and cloud spending. It also rolled out detailed spending breakdowns and usage analytics, as well as procurement workflows to automate, track and audit the purchase of software.
To support its ambitious growth plans and growing customer base, Vertice will create over 150 new positions in 2024 across the US, EMEA and APAC, and will also be investing in its platform to solve more of its customers’ needs, including expanding functionality to help customers better optimize their clouds and radically streamline their technology stack.
Laurel Bowden, partner at 83North, commented: “Vertice has a powerful combination of a tenacious team, fast execution and a huge market with strong structural tailwinds. Companies of all sizes are feeling the pain of wasted spend and Vertice is uniquely positioned to address the changing needs of CFOs. As a result, Vertice has quickly become the go-to platform for companies looking to get lean and extend their runways.”
Adam Fisher, partner at Bessemer, added: “Vertice’s trajectory has been incredible, not just from a sales perspective but also in terms of its exceptional product development. Building genuinely innovative solutions that solve strategic pain points for enterprises is something that sets Vertice apart. We believe this is a recipe for sustained long-term and defensible success.”
Vertice was founded in 2021 by serial entrepreneurs Roy and Eldar Tuvey. The brothers have two decades of experience running enterprise SaaS companies, most notably founding ScanSafe and Wandera, which exited for $200 million (Cisco) and $400 million (JAMF).
Read the orginal article: https://www.eu-startups.com/2024/01/london-based-vertice-bags-e23-million-series-b-to-help-finance-teams-control-their-saas-and-cloud-spend/
