Cleveland-based BuyerQuest, a provider of procure-to-pay software solutions, has secured $7 million in funding. Argentum led the round with participation from First Analysis. In conjunction with the funding, BuyerQuest has named Daniel Raynor, co-founder and managing partner of Argentum, to its board of directors.
CLEVELAND, OH–(Marketwired – October 05, 2015) – BuyerQuest, Inc., a leading provider of cloud-based enterprise Procure-to-Pay (“P2P”) software solutions announced today that it raised $7M in growth equity. The investment was led by New York-based private equity firm Argentum with Chicago-based First Analysis also participating.
The transaction comes in the wake of BuyerQuest’s steep growth trajectory in 2015 that has seen the company continue to extend its winning streak of securing global software wins at some of the most iconic corporate and educational institutions in the world. The company’s customer base now includes 7 of the Fortune 100 companies as enterprise customers and over 100,000 unique, active end-users executing millions of procurement transactions. BuyerQuest has firmly established itself as a disruptive force in today’s enterprise procurement software industry by bringing an intuitive, easy to use B2C e-commerce experience to B2B procurement that “eliminates the difference between shopping at home and shopping for work.”
The new growth capital will be used to further expand BuyerQuest’s cloud based software suite with increased investment in its downstream capabilities including B2B payments, early payment discounts, and BuyerQuest’s no-fee Supplier Network. The company also plans to broaden its geographic footprint to better serve BuyerQuest’s increasingly international client base.
“BuyerQuest is fundamentally changing the way large organizations approach enterprise procure-to-pay. As we continue to win marquee, global customers, it’s imperative that BuyerQuest remains on the forefront of innovation in the Procure-to-Pay market,” said Jack Mulloy, BuyerQuest’s Chief Executive Officer. “We are pleased to welcome Argentum and First Analysis to the BuyerQuest team. Both firms have deep enterprise software and SaaS industry knowledge and the cultural fit couldn’t be better.”
In connection with the transaction, Daniel Raynor, Co-Founder and Managing Partner of Argentum, joined BuyerQuest’s Board of Directors.
“We are extremely impressed with the stellar roster of major clients that BuyerQuest has been able to successfully implement in the early stages of its growth phase. After speaking with these clients, it is very clear that by offering a familiar B2C e-commerce experience to corporate purchasers, BuyerQuest’s solution is driving higher rates of user adoption, increasing the amount of spend flowing to preferred suppliers, and delivering substantial savings to its clients,” said Mr. Raynor. “We look forward to helping Jack and his team build a world class cloud-based software company that redefines the boundaries of the enterprise procurement industry.”
About BuyerQuest, Inc.
BuyerQuest is a world-class Spend Management Software and Services company, founded on the core belief that the enterprise procurement experience can and should be just as easy as an everyday B2C e-commerce shopping experience. BuyerQuest delivers its end-users a world class shopping experience for all goods and services across the enterprise. Procurement and Accounts Payable organizations are empowered by BuyerQuest’s intuitive administration tools to operationalize their contracts and drive compliance through widespread user adoption coupled with advanced intelligence capabilities. To learn more about BuyerQuest and the value it can deliver for your organization please visit www.BuyerQuest.com
Argentum is a New York-based growth equity firm that supports entrepreneurial owners in building industry leading companies. The firm partners with management teams of companies with revenues of $5 to $25 million to provide capital to accelerate growth, fund acquisitions or generate shareholder liquidity. Since raising its first fund in 1990, Argentum has invested in over 75 companies and supported more than 175 add-on acquisitions in technology, healthcare and other high growth service sectors. Learn more at www.argentumgroup.com
About First Analysis
First Analysis is a leading private growth-equity investor. It has one of the longest records (27 years) in private capital investing and has invested about $700 million. First Analysis invests mainly in the United States with a focus on its three sectors of expertise: broadband-enabled businesses (IT applications and outsourced services), health-care productivity, and clean-tech / infrastructure. It invests for expansion and growth in small and mid-size companies with established business models, high internal growth rates, and large-market leadership potential. For more information, please visit www.firstanalysis.com