The Software-as-a-Service (SaaS) startup space is no longer in the limelight, but this week venture capitalists put their own spotlight on the industry, providing more than $75 million to four firms in the sector. The companies range from product life cycle management solutions to those that help other SaaS firms retain clients. Plus, backers showed an interest in small business finance and B2B eCommerce. Here are all the top B2B FinTech deals from the week.
Based in Sweden, Apica provides Software-as-a-Service that helps companies test and monitor the performance of their own software applications. This week Oxx, which tends to focus on B2B software startups, led the $12 million funding round for the company, which also saw participation from Industrifonden, SEB Venture Capital and KTH Chalmers Capital, according to reports. Apica said it will use the funds to expand across the U.S. and Europe, with half of its bookings coming from U.S. customers.
U.S.-based ChurnZero is a Software-as-a-Service company for fellow Software-as-a-Service businesses. The company raised $2.5 million, news reports this week said, from Grotech Ventures, Middleland Capital, the Center for Innovative Technology and Charlottesville Angel Network. After creating their own SaaS solutions, Co-Founders You Mon Tsang and Mark Heys experienced the struggle of churn — losing customers — and designed a new SaaS tool to help other software firms retain their user bases. The funds will go to various aspects of the company, ChurnZero said, especially on tech, product and sales and marketing, as well as adding new staff members.
With software to help online businesses stay online and meet customer expectations, NS1 provides traffic management and other technologies to help corporate customers navigate threats to their online presence, from malicious attacks to network outages. This week, the company secured $20 million for its offering, with funds provided by GGV Capital, Salesforce Ventures and a slew of other backers. The funds will go toward customer outreach, reports said.
Providing software to help companies design complex products and managing each of its components throughout the manufacturing industry, Aras announced $40 million in fresh funding this week led by venture capitalists at Silver Lake as well as GE Capital. According to reports, Aras is focusing its product lifecycle management solutions on promoting an internet-connected manufacturing sector.
As a combined B2B eCommerce and SMB lending solution, India-based Power2SME secured a $10 million investment from the International Finance Corporation (IFC), part of the World Bank Group, reports this week said. In addition to the funding, the IFC will provide business guidance to the company as they work to expand access to capital for SMBs across the country. Power2SME also said it hopes to increase the number of users on its platform by up to 10 times in the coming five years.
Another B2B eCommerce portal based in India, Aahaa, secured $1 million in pre-Series A venture capital funding from YourNest, reports said. The company provides businesses with a platform to procure office goods online with clients across the IT, manufacturing and financial services industry. Reports said Aahaa plans to use the backing to expand into new industries and grow geographically, while it also plans to strengthen its underlying technology and to poach new customers.