Total amount raised
$67.1 Million
Latest funding date
02/01/2022
Location
Tropic has successfully raised funding over three rounds, with the latest being a Series B round led by Insight Partners. The platform offers full-service procurement solutions, leveraging AI to streamline software procurement and manage spend efficiently.
Keep reading to explore the intricacies of Tropic's fundraising journey and the investors backing this innovative platform.
What Is Tropic?
Tropic is an intelligent procurement platform that leverages AI to help companies manage their software procurement processes. Founded by Justin Etkin, the company is based in New York, New York, and operates in the industries of Marketing, Procurement, SaaS, and Software.
With an employee count ranging from 251 to 500, Tropic offers features like spend intelligence, price benchmarks, supplier insights, and negotiation playbooks. The platform aims to unify procurement data, automate manual tasks, and provide actionable recommendations to help companies save money and manage their spend more efficiently.
How Much Funding Has Tropic Raised?
- Seed Round
- Amount Raised: USD 2,100,000
- Date: April 2020
- Lead Investors: Founder Collective
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop and enhance Tropic's platform, scale operations, and acquire new clients.
- Series A
- Amount Raised: USD 25,000,000
- Date: August 2021
- Lead Investors: Canaan Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate growth, expand the team, and enhance the platform's capabilities.
- Series B
- Amount Raised: USD 40,000,000
- Date: February 2022
- Lead Investors: Insight Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand Tropic's global footprint, add staff, and launch four new software modules within the year.
Total amount raised: USD 67,100,000. Current valuation: Not publicly disclosed.
Key Investors
- Insight Partners
- Details: Insight Partners is a global venture capital and private equity firm founded in 1995. They have invested in more than 400 companies worldwide and raised over $30 billion in capital commitments.
- Investment Focus Areas: High-growth technology, software ScaleUp companies, transformative industry changes.
- Notable Investments: Notion, Nextdoor, Faire.
- Canaan Partners
- Details: Canaan Partners is a venture capital firm that invests in early-stage companies. They have a diverse portfolio across various sectors and have been active in the venture capital space for several decades.
- Investment Focus Areas: Technology, healthcare, fintech.
- Notable Investments: Not publicly disclosed.
- Founder Collective
- Details: Founder Collective is a seed-stage venture capital fund founded by a group of successful entrepreneurs. They focus on helping startups grow from the ground up.
- Investment Focus Areas: Technology, consumer products, healthcare.
- Notable Investments: Not publicly disclosed.
What's Next for Tropic?
As Tropic looks to the future, the opportunities are vast. The company plans to expand its global footprint, build its team, and launch four new software modules. With the cloud software market projected to reach $700 billion, Tropic is well-positioned to capitalize on this growth by replacing outdated procurement systems with its next-gen platform.
Future fundraising seems likely, given the rapid revenue growth and market potential. Additional funding could help Tropic further enhance its capabilities and market reach. However, challenges such as scaling operations, integrating new modules, and managing increased competition in the SaaS procurement space will need to be navigated carefully.
Use Clay to Get Funding Data
Sales professionals, leverage Clay’s platform to access comprehensive fundraising data on companies like Tropic and gather other critical business insights. Sign up for free and start making data-driven decisions today.
