New York-based Electric, an IT technology startup that caters to small and medium-sized businesses, has experienced notable growth offer the past few years. Now, the startup is raking in $20 million in a D-1 funding round from Harmonic Growth Partners.
The D-1 round comes just five months after Electric raised a $90 million Series D and values the six-year-old company at $1 billion. The newly minted tech unicorn also raised $10 million in a Series A round back in 2018.
“With most of our Series D still in the bank, we set out to raise capital for initiatives beyond those on which the Series D was based. With this raise, we’re capitalized to be as aggressive as we need to be without impacting our runway,” Ryan Denehy, Electric founder and CEO, told Built In via email.
According to Denehy, Electric has doubled its users and revenue since 2020. This has led to an annual recurring revenue increase of nearly 124 percent — going from $17 million in 2020 to $38 million in 2021.
Electric plans to use its fresh funding to approach strategic acquisitions and enter into new markets.
“This raise will [also] fund a self-service version of the Electric platform — a marketplace that makes it easier for small to medium-sized businesses to purchase and manage their software in one place — and more proactive IT insights to help customers make informed decisions about their cybersecurity, hardware and software products,” Denehy said. “We’re investing a lot in research and development, and of course, will hire experts to deliver in these areas.”
The current employee headcount at Electric is 426 people with 30 open roles for hire.
“One of our core objectives as a company is to build a workplace where all talent thrives. Above and beyond the target headcount number, we’re dedicated to building a diverse, equitable and inclusive workplace,” Denehy said.
