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Spreedly Raises $2.5 Million in New Funding

Spreedly_homepage_Oct2015

A few weeks ago, when we first read the rumors of new funding for Spreedly, we checked with the source, company CEO Justin Benson. He told us to stay tuned. “Bigger news is coming,” he said.

And so today, with word that the “Payments as a Platform” specialist has raised $2.5 million in new funding, we are happy to say that the bigger news has arrived.

“This new round brings our total raised capital to a little under $5 million,” Benson said in a blog post this afternoon. “We worked with our existing investors E-Merge and as part of this new round we’re thrilled that we were able to add a founder of Ogone to our list of investors,” he said.

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Spreedly CTO Nathaniel Talbott speaking during his presentation “The Vault Grown Up” at FinDEVr 2015 in San Francisco.

Benson emphasized the importance of this kind of traction as a motivator to help make it “through the early slog via critical validation.” He also explained how a strategy of targeting “greenfield” opportunities and early investments in the technology enabled Spreedly to get a “fully featured product” to market as quickly as they did. Benson said that the funding would allow the company to invest in sales, business development, and marketing talent “so we don’t remain the best kept secret in payments.”

Spreedly helps marketplaces and platforms accept a wider range of payment types while reducing cost, complexity, and compliance burden. Benson said the company now has nine developers on staff, a trio of “business folks”, and manages 300 marketplaces and platforms that are generating annualized processing volume of nearly $2 billion. Spreedly’s APIs are used by companies including Oxfam, SeatGeek, Tango, and Zomato.

Founded in January 2008 and headquartered in Durham, North Carolina, 12-person Spreedly demonstrated its universal credit card, token technology at its FinDEVr 2015 debut in San Francisco.

Spreedly is also a Finovate alum. The company presented its Payment Method Distribution and Card-on-File updater at FinovateSpring 2014 in San Jose.