Less than year after QuotaPath raised its Series A, the commission tracking and compensation management platform maker has raised again.
This time, it’s a $41 million Series B led by Tribe Capital.
The round also has participation from existing investors Insight Partners, ATX Venture Partners, Stage 2 Capital and Integr8d Capital, and will have a special focus on product, founder AJ Bruno told Technical.ly. The company grew from about 20 employees to about 70 in the last year, and it’s seen a 480% year-over-year increase in revenue, he added.
The company is Bruno’s second, after selling Austin-based TrendKite in 2019 for $225 million. QuotaPath seeks to solve a problem Bruno and others in the industry experienced with the first company — simplifying the way companies pay their salespeople. The current platform has plans for updates to integrate with additional CRMs, ERP and payroll programs to serve the compensation model more fully. The platform first went live with its paid launch in June 2020.
Bruno first got connected to the folks at Tribe when the company wasn’t yet set on fundraising again, but partner Sri Pangulur’s expertise in product-led companies was a draw. After the first meeting, Bruno said he knew that when they were ready, Tribe would be the best fit for its rapidly growing user base.
“With the macro picture of fundraising and capital being deployed and founders changing their financial plans, I feel fortunate to have gone through this before as a second-time founder,” Bruno said of the nationwide VC slowdown. “And so I feel really strongly growth is centered through our product, and ensuring we’re leading through our product.”
He expects Pangulur’s experience will aid well: “He thinks about the world in how users engage in products and how employees are empowered to try out new platforms and applications,” the founder said.
Per Pangular, backing the company was an easy decision.
“In today’s rapidly evolving talent markets, streamlining incentives is more important than ever to provide unified visibility across sales teams,” he said in a statement. “As the only major player in the space with a product-led-growth sales motion, we believe QuotaPath can become the dominant commission tracking software for companies of all sizes while growing alongside its customer base.”
The four-year-old startup is split between HQs in Philadelphia and Austin, plus a third category of remote workers that make up the 70-person operation now. Much of the company’s engineering team is based in Philadelphia, while sales, product account management and customer service is based in Austin, but there’s no hard and fast rules for the offices, Bruno said: Both cities contribute a lot to the company’s culture, and have helped with recruiting and networking.
“We’re fairly fluid. I don’t know of any other companies with dual bases between Philly and Austin, and there’s a lot of cultural pieces to it. We’ve made it our home,” he said. “It doesn’t feel like either one is playing second fiddle, we’re creating that aligned culture. It works if everyone buys into it.”-30-