TVC Capital Raises $15 Million for Seattle-Based Tech CompanyThursday, June 9, 2016
TVC Capital, a San Diego private equity firm that invests in enterprise software companies, has led its single largest Series A investment yet for a Seattle-based company that enables the sale, use and service of cloud technology.
BitTitan, founded in 2007 by Microsoft alum Geeman Yip, announced Thursday it had raised $15 million in a round led by TVC.
The financing is the first outside investment for the bootstrapped company, which said it plans to use the funds to add more automation capabilities to its MSPComplete platform and hire about 100 more employees in the next 12 months to continue expanding its global reach. BitTitan has an office in Singapore as well as Seattle.
The round also included participation from San Francisco-based Tao Capital Partners.
“It’s a big commitment, but we all think it’s a pretty safe bet, frankly,” said Steve Hamerslag, a managing partner at TVC. “They had lots of folks at the table happy to do the deal with them. We’re thrilled we were chosen to be their partner.”
BitTitan – which started out in Yip’s basement -- as operated leanly since its start, according to the company. That was appealing to TVC.
“We look for business leaders who ideally have bootstrapped their business or operated in an extremely capital-efficient way,” Hamerslag said. “It is rare for a bootstrapped company to have achieved BitTitan’s degree of growth, and we regard this as a testament to Geeman’s fearless leadership and the exceptional management team he assembled.”
BitTitan has more than 3.5 million users in more than 125 countries, the company says.
The Series A funding is the first time the firm has raised capital since its founding, according to BitTitan.
Hamerslag, who joins BitTitan’s board of directors, co-founded TVC with Jeb Spencer in 2006. The firm closed on a $115-million growth fund last year, its third; it manages about $235 million.
The BitTitan investment is the fourth out of that fund.
This spring, TVC led a $13.5-million Series A round for Centage Corp., a Massachusetts provider of budgeting and forecasting software for small and medium-sized businesses. Northgate Capital, headquartered in Northern California, also participated in that round.
And on June 1, financial tech, digital compliance and cyber security company Docupace Technologies LLC announced it had raised $16.5 million, from TVC and Palisades Growth Capital. Spencer joined Docupace’s board of directors.