SugarCRM, a global organization offering open-platform web-based CRM solution, recently raised $40 Mn in Private Equity Funding, led by Goldman Sachs & Co. The company plans to utilize the investment to further expand its global reach. As per the reports, the company also intends to use the financing to build out its product and development team.
SugarCRM is an affordable, easy to use solution which empower organizations to gain and retain customers by providing greater efficiency and control over the sales pipeline. The solutions are basically used for activities in 4 areas viz. Sales, Marketing, Support and Platform across wide range of industries including Finance, Education, Manufacturing, Healthcare and many more.
Commenting on the scope of the industry, Larry Augustin, CEO, SugarCRM estimates the total number of CRM users today at about 20 million and said SugarCRM’s addressable market is as large as 500 million.
The services are currently available in a price range of $35 to $100 user/ month along with a Community Edition to get a free trial. The enterprises can thus choose to purchase the software via a subscription or run it on-premise.
The company is also planning to go public, however, the exact time line has not been disclosed yet. “We are at the stage where we could be a public company [and] it is one of our goals”, said Larry.
Recently, the company reported to achieve 15 consecutive quarters of growth and increased annual recurring revenue by more than 30 percent year-over-year in the second quarter of 2013. In addition, SugarCRM announced the appointment of Antoine Munfa, a vice president at Goldman Sachs, to its Board of Directors.
It also added over 600 new customers in Q2 2013 including microphones manufacturers Sennheiser and U.K. primary care software provider Egton Medical Information Systems, owing to the innovation in its user experience (UX) design, CRM-integrated social collaboration platform, and integrated mobile solution.
Across Asia, the company includes clients such as TechLiveConnect (Gurgaon, India), EGUARDIAN, SIM University (Singapore) and many more.
SugarCRM, founded in 2004, is headquartered in Cupertino, California with European headquarters in Munich, Germany and Asia Pacific headquarters in Sydney, Australia. With the current funding, the total amount raised reaches $105 million, along with $19 Mn of debt. The company claims to have more than 6,500 customers and currently competes with leading players like SalesForce.com in the multi-billion-dollar CRM industry.
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