Infusionsoft Adds $7.9 Million in Series B Financing to Fuel Continued Growth
New Investor vSpring Leads Round; Infusionsoft Sees Ripe Opportunity to Help Entrepreneurs Succeed by Automating Marketing
Gilbert, Ariz. — December 19, 2008 — Infusionsoft, the leader in marketing automation software for small businesses, today announced the completion of its series B round of venture financing, totaling $7.9 million. The round was led by new investor vSpring of Salt Lake City, Utah and included previous investor Mohr Davidow Ventures in Silicon Valley. Infusionsoft will use the new financing to expand sales and marketing efforts in 2009 as it builds on its recent growth.
Infusionsoft’s second round of funding caps a year filled with recognition for the company’s fast growth in revenues and customers as well as honors for excellent work environment. The company has experienced 1,128-percent revenue growth from 2004 to 2007 and the number of small businesses using Infusionsoft's Web-based marketing automation software has tripled in the last two years alone. Infusionsoft was included on Inc. Magazine’s Inc. 500 list of fastest growing private companies in both 2007 and 2008 and was ranked in the top ten in its category in the 2008 Software 500 rankings by Software Magazine. The Phoenix Business Journal ranked Infusionsoft fourth out of all midsize companies in the Phoenix Valley on its list of “Best Places to Work” for 2008, making this its third consecutive year on the rankings.
Infusionsoft provides automated follow-up marketing software for entrepreneurs and small businesses with a staff of 25 or less who need a solution to the common problems of unconverted leads, no repeat sales from customers, and having to add more staff in order to get things done. Unlike other software for "SMBs," Infusionsoft's Web-powered, automated follow-up software was built specifically for true small businesses and entrepreneurs who want to grow quickly and profitably without adding extensive sales and marketing staff. The Infusionsoft Software-as-a-Service (SaaS) delivery model allows Infusionsoft users to enjoy quick implementation, increased security, increased productivity and price stability as well as regular updates without requiring any external maintenance.
“When we started Infusionsoft, we realized that there was no solution geared towards helping the true small business succeed without adding a lot of overhead,” said Clate Mask, CEO of Infusionsoft. “The new financing from vSpring demonstrates both the success we’ve had to date in building a strong software company and our potential to quickly become a recognized market leader. I am especially proud of raising capital despite the negativity that is so pervasive in this economic climate - it’s a testament to our investors’ confidence in our business and the power of the entrepreneurial mindset. In 2009, Infusionsoft will be dedicated to liberating and empowering every growth-oriented entrepreneur and small business that can benefit from automation and always-on marketing.”
“Infusionsoft’s impressive momentum and fiercely loyal customer base clearly shows that their product is adding significant value to small businesses across the country, changing the way small businesses grow,” said Scott Petty, managing director at vSpring. “Infusionsoft’s Web-based software helps companies grow their sales without having to hire costly staff, a significant value to small businesses in this economic climate. While other software sectors could see a lag in 2009, we anticipate a strong opportunity for Infusionsoft to continue to gain market share as they help entrepreneurs convert customers and build revenue.”