Electric, the provider of IT technology for small and medium-sized businesses, has announced that it has raised $90M in Series D funding. Existing investor GGV Capital is leading the round, with participation from existing investors Bessemer Venture Partners, Primary Venture Partners, Greenspring Associates, 01 Advisors, Atreides Management, Vintage Investment Partners and Slack, bringing Electric’s total amount raised to over $189M.
The new capital will be used to drive growth through investments in product development, customer service and company culture. Electric plans to expand its partner and integration ecosystem and extend its IT management platform.
“We’re focused on building a company that can lead the market for a very long time,” said CEO and founder Ryan Denehy. “Our existing investors share that vision, so we were thrilled to be able to complete the Series D without bringing on any new capital partners. It’s a testament to the belief everyone around the table has in our technology and Electric’s future.”
“The complexity of IT for SMBs has gone way up in the last 5-10 years, and is not going back,” said Jeff Richards, Managing Partner at GGV Capital. “SMBs spend $300-400 billion a year on IT in the US alone, a number that will continue to grow for decades as every industry is transformed by digitization, which only accelerated in the pandemic. In a recent survey we did of US SMB’s, 68% said their IT budget is increasing in 2021 vs 2020, and 71% said remote work had impacted their IT budget. We’ve been lucky to watch Ryan and his team build Electric from the Series B and are thrilled to be more than doubling down to lead this new round of financing.”
The Series D comes on the heels of Electric’s acquisition of Techvera, its second in less than a year following the acquisition of Sinu in November 2020.
Arya has been a part of the Content & Research Team at Hrnxt.com. She is a keen observer of economic developments, emerging businesses, people in business and keeps a tab on latest happenings in the business environment.