The global pandemic has accelerated the already growing shift to SaaS (software-as-a-service) and subscription-based business models from cars to coffee providers
Peerzada Abrar |
Last Updated at April 20, 2021 23:46 IST
Chargebee, the leading subscription billing, and revenue management platform, has raised a fresh round of $125 million in series G funding. The round was co-led by new investor Sapphire Ventures and existing investors Tiger Global and Insight Venture Partners, along with participation from another existing investor, Steadview Capital. Chargebee is now valued at $1.4 billion, which triples its valuation in less than 6 months.
The new round of funding will allow Chargebee to expand its global footprint and further add to its partnership network. The global pandemic has accelerated the already growing shift to SaaS (software-as-a-service) and subscription-based business models from cars to coffee providers. Demand for moving into a recurring revenue stream is expected to grow at a 17.5 per cent CAGR (compound annual growth rate) over the next five years.
San Francisco and Chennai-based Chargebee recently brought out enterprise-class capabilities like usage-based billing and a dedicated data centre for Europe.
“Businesses today need to quickly respond to evolving customer needs, compliance requirements, and market pressures in real-time,” said Krish Subramanian, co-founder, and CEO at Chargebee. “More than ever before, businesses need their subscription revenue platform to be the reliable system of record that enables them to rapidly scale their revenue processes.”
Chargebee said it is committed to spearheading this movement towards a subscription-first world. The firm has an extensive customer portfolio that includes brands like Okta, Freshworks, Calendly, Study.com, and thousands of other high-growth subscription businesses.
As a core revenue enabler for thousands of subscription businesses, Chargebee said its rapid growth has further been spurred by its fastest time-to-value and its long-term investment in customer growth. The firm said its platform is easy to implement; onboarding can be completed in less than ten days – even for large global enterprises.
“Today we’re able to roll out a new pricing experiment in 30 minutes and converge on the right pricing point that suits our customer segments,” said Paul Kapsner, director of finance at Superfoods company and a long term customer of Chargebee. “Chargebee has given us the freedom to make mistakes, and then fix them right away.”
Chargebee’s customer portfolio is spread in over 60 countries. With this fresh round of investments, Chargebee plans to further invest in their product to help businesses scale their subscription revenue operations seamlessly from startup to IPO. The company also announced that it will be increasing its investment in its global expansion and key partnerships.
“As the global shift to subscription-first models continues to grow in popularity, Chargebee has an incredibly bold vision for new products for multiple market segments,” said Rajeev Dham, partner at Sapphire Ventures and the latest board member of Chargebee. ” After years of knowing them, I’ve been most impressed by their thoughtfulness and execution in building Chargebee as the emerging category leader that is reinventing the broader space.”
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