Software business CloudOne has secured a $2.8 million round of Series C financing led by San Diego-based Bootstrap Venture Fund. The proceeds of the investment will be used to further accelerate growth through sales and marketing, customer service and account management.
CloudOne, the world leader in cloud delivery of IBM Software-as-a-Service, announced today a $2.8 million round of Series C financing led by San Diego-based Bootstrap Venture Fund. The investment, which includes participation from several existing investors in the company, comes on the heels of over 40% year-over-year growth and becoming cash flow positive in December 2013. The proceeds of the investment will be used to further accelerate growth through sales and marketing, customer service and account management.
“The relationship between CloudOne and Bootstrap Venture Fund is an excellent fit and we’re honored to be a part of their portfolio of companies,” said John McDonald, CEO of CloudOne. “We’re particularly looking forward to working closely with these companies to grow our customer base in healthcare, medical device development and automotive components – industries critical to economic growth in our home base of Indiana.”
Kyle Williams, managing partner at Bootstrap Venture Fund, said, “We are excited by the opportunity to lead this round of funding. CloudOne has a cutting-edge solution, a great customer base and a high caliber management team in place that can continue to increase their lead in the industry. We look forward to helping them achieve their goals.”
As a recent addition to the Indiana entrepreneurial community, CloudOne’s growth has also been fueled by financial support from Indiana angel investors and investment programs managed by Elevate Ventures in partnership with the Indiana Economic Development Corporation (IEDC).
“Innovative and high-growth companies like CloudOne find Indiana attractive due to our low-cost of doing business, high-caliber of talent and committed partnerships designed to foster a robust entrepreneurial ecosystem,” said Eric Doden, president of the Indiana Economic Development Corporation. “We’re always excited to see companies thrive here in Indiana, growing our economy and putting more Hoosiers to work.”
As part of the investment, CloudOne has formed a new Board of Directors. Serving on the board are David Clark, venture partner at Elevate Ventures; Ryan Diem, entrepreneur and retired offensive lineman for the Indianapolis Colts; Parker Hinshaw, co-founder and former CEO of maxIT Healthcare; Christopher Hughes, managing principal at HKS Capital Advisors; and John McDonald, current chairman.
CloudOne delivers on-demand Software-as-a-Service and Virtual Private Cloud solutions for IBM® software tools to meet the needs of all industry verticals and variably sized organizations. Cummins, Panasonic, Hilton, CVS/Caremark, US Army, Shell, Xerox, Deloitte, Express Scripts, Delphi Automotive, Harman/Kardon, McDonald’s and other organizations worldwide rely on CloudOne’s cloud-based IBM Software-as-a-Service to make their infrastructure work on-demand.
Started in 2009, the company is privately owned and headquartered in Indianapolis, IN. CloudOne speeds the development of IBM® technologies with no up-front capital, so companies “pay as they go” on a monthly subscription saving them money on infrastructure, staffing and configuration costs while creating a dynamic, elastic environment to facilitate global collaboration, visibility and consistency.
About Bootstrap Venture Fund
Bootstrap Venture Fund is a growth capital fund with a vision of how technology is changing the competitive landscape. Bootstrap invests in companies providing technology-based services and products, with an emphasis on Software-as-a-Service and analytics. In addition to capital, Bootstrap offers expertise, contacts and strategic advice to help businesses to reach their potential. Bootstrap Venture Fund is part of the Bootstrap Incubation family of companies.