Venture Funding Arrives On Time For Concord Firm
For the first time in its 10-year history, ProcessUnity, a Concord-based risk and service delivery management software firm, has the cash to grow rapidly, and CEO Todd Stone said the money comes at a crucial time in the industry.
With a recently-acquired Series C round of venture funding — $5 million, led by Rose Park Advisors of Boston — ProcessUnity will expand its reach in existing financial services segments, as well as enter the health care industry and grow its international business, Stone said.
Companies Face 'Big Issues' Of Post-Recession Regulation
Securing the $5 million "tremendously exciting," Stone said. It's the largest round of venture funding since the private company, which has offices in historic West Concord, was founded in 2003. ProcessUnity raised $4.5 million in two prior rounds of funding from private individuals, but Rose Park is the company's first institutional investor.
Stone said mounting pressures in the regulatory compliance realm spell increased risk for their business-to-business clients, which include names like Fidelity Investments and RBS Citizens, as well as smaller enterprises. These pressures are the result of the Great Recession of 2009, Stone said, which prompted the government to tighten oversight of financial firms.
Companies that have struggled to stay afloat on lean budgets following the recession are faced with the daunting task of risk management, according to Stone. "These are big issues."
It's apparently translated to big business for ProcessUnity. Stone declined to reveal the company's revenue, but said they doubled it last year and are projecting to triple it this year.
'Extending Enterprises'
As regulatory pressure has increased, information security risks have
soared, according to Stone. Businesses today typically expand beyond four walls, he said, becoming "extending enterprises" that share client information with other organizations, creating greater risk.
"There might be 50 different businesses making (a company) tick," Stone said.
As for expansion overseas, Stone said ProcessUnity experienced its first international sales success in Asia last year, and the company will now expand international distribution of its products.
Image source: freedigitalphotos.net
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