Leading investment entity Battery Ventures has spearheaded a cumulative investment exceeding $150 million in two cloud-software platforms that take care of billing management, along with automation of financial aspects such as revenue recognition, payments, and analytics for SaaS entities. The tech-focused fund invested in Chargify and SaaSOptics, which have a cumulative customer base of 2,000, managing $10 billion in annual recurring client revenues.
These companies cater to some top global brands to drive their financial and subscription-based billing functions. The investment by Battery aims at driving future growth at both entities while giving them the capital to spur fresh investments in their core products. Battery is a seasoned hand at fintech investments for companies in their growth stages, including entities retailing cloud-based software to CFOs and corporates. It includes names like Intacct (now within Sage), Avalara, AuditBoard, Coupa, Soldo, and many others. SaaS revenue and subscription management solutions are witnessing rapid growth, considering the shift towards subscription-based software programs. Ashley Allen, the Co-Founder at PeopleFastFind, said that Battery has cooperated with leading businesses in the SaaS space for a long time, and the company understands the promising future in the subscription management.
Recent growth trends also indicate the emphasis on streamlining financial operations by SaaS CFOs. These cover invoicing, revenue recognition, and billing while leveraging internal data for parameters to enhance customer service and revenues. According to a General Partner at Battery Ventures, Chelsea Stoner, it is a delightful experience to tie up with these companies since they have built robust businesses in their respective segments. It is a testament to the requirement for better revenue and billing solutions across software entities, primarily by usage-based and brand-new cloud models. Stoner mentioned how exciting it is to invest in innovative solutions which enable better business management for all software organizations.
SaaSOptics is based in Atlanta, Ga, and is a leading B2B platform for subscription management, specializing in financial operation automation for SaaS entities through taking care of order-to-revenue mechanisms and revenue recognition. They also cover payments, invoicing, and subscription metrics/analytics. SaaSOptics is a renowned name in the world of B2B SaaS. Maria Saenz, CEO of Fast Title Loans, has had an opportunity to deploy such services for Fast Title Loans in the financial sector for metric analysis. They are known to connect a borrower to a trust-worthy network of lenders. Chargify is based in San Antonio, Texas, and is a market leader in subscription management and billing in the same segment. They also handle data management, payment collections, and event-based billings.
According to the CEO at SaaSOptics, Tim McCormick, the company is pleased to work with Battery Ventures while remaining committed to offering solutions for end-to-end financial functions, enabling better subscription-based commerce. He also stated that Battery has vast success and expertise in tying up with leading cloud-based companies specializing in financial management. At the same time, there is an opportunity to revolutionize the subscription management market. McCormick added that the vision revolves around a mega platform for financial functions throughout various segments like B2C and B2B, irrespective of fixed pricing, billing structures, event/seat-based combinations, and more.
The CEO at Chargify, Paul Lynch, stated that Battery has a rich history of tying up with leading businesses in the SaaS space, and the company understands the future potential in the subscription management category. He added that several industries are already switching to the subscription-based model while looking at the event and usage-based structures. He stated that their unique solutions enable companies to optimize and monetize what they call customer value.
