Sastrify, the next generation platform for buying and managing SaaS subscriptions, announced it has raised a $32 million Series B financing round led by Endeit Capital, with participation from Simon Capital and previous investors HV Capital, FirstMark Capital, and TriplePoint Capital. The company will use the additional funds to scale the global team focused on the United States and Europe and further accelerate product development to support mid-market and enterprise customers. Sastrify has been a strong force in Europe since first launching in mid-2020, growing more than 400% in the past year fueled by a focus on clear return on investment for its customers.
SaaS sprawl continues to pose a significant risk to companies worldwide. According to industry research, more than $200 billion and 3.9 billion working hours will be wasted on software buying in 2023, while one in five companies will have experienced a cyber event related to shadow IT. According to Sastrify data, the typical company overspends by more than thirty percent on their SaaS costs and wastes more than 400 hours per year on managing their SaaS contracts.
The Sastrify platform allows users to centralize, visualize, and automate their entire SaaS procurement journey. Sastrify powers SaaS procurement for fast-growing companies like sennder, OnRunning, Babbel, and Pleo and is positioned to continue to expand its services in the US, already serving US customers such as Capchase, a non-dilutive financing provider to SaaS companies.
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The fundraising coincides with Sastrify’s expansion of its core product offerings to provide automated Usage Analytics as well as the launch of the Sastrify Marketplace, which includes flexible payment and financing options. Sastrify and Capchase also recently announced a partnership to provide flexible financing for SaaS licenses.
With the launch of Sastrify’s exclusive pre-negotiated commercial offerings via their Marketplace, teams can find and evaluate tools, streamline their procurement processes, optimize their SaaS stacks, and make insights-driven decisions. With Sastrify’s expanded Usage Analytics, companies benefit from having full transparency into their SaaS stack—visibility which in turn allows them to eliminate unnecessary or bad-fit tools and discover better alternatives.
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“We’ve built a platform that enables procurement, finance, and IT teams to fully optimize all aspects of their software procurement,” said Sastrify CEO and co-founder Sven Lackinger. “Our hundreds of customers around the world have validated our platform as the comprehensive SaaS procurement solution. We’re positioned to grow our team, and continue to work with companies to focus and accelerate their efforts to reduce their risk, save hours per week, and save up to seven figures on their SaaS costs.”
“As a result of the rise of SaaS Solutions, accelerated Digital Transformation due to Covid and the current global economic climate, scalable SaaS management has become table stakes for running a successful company. We believe Sastrify’s platform is very well positioned to capitalize on this trend,” said Philipp Schroeder, partner at Endeit Capital,” said Philipp Schroeder, partner at Endeit Capital.
“FirstMark invests in companies like Airbnb, Pinterest, and Shopify that can transform massive markets with technology. Sastrify’s accelerated growth and compelling product/market fit with global customers has cemented our belief in the company’s position to be the #1 global SaaS procurement solution,” said Adam Nelson, Managing Director, FirstMark.
