The Raise Will Fund Product Innovation, Investments in Self-Service for Small Businesses and IT Insights
NEW YORK, March 29, 2022 — Electric, the leader in providing world-class IT technology for small and medium-sized businesses (SMBs), today announced it has raised $20 million in Series D-1 funding from Harmonic Growth Partners, five months after its $90 million Series D with GGV Capital, Bessemer Venture Partners, Greenspring Associates and others. This new funding brings the company’s valuation to $1 billion and the company’s total amount raised to over $200 million.
Electric is one of the fastest growing providers of IT solutions for SMBs in the United States. With SMBs accounting for two thirds of new jobs and 43% of the US GDP, small businesses are an important segment of the economy. The typical SMB has over 40 SaaS applications to run its business, and the complexity of remote work has made managing IT even more challenging. Electric makes IT easy for SMBs by centralizing the four core pillars of IT management: employee onboarding and offboarding, real-time IT support, hardware management, and security at the device, application and network levels. This new round of financing will be used to accelerate product innovation toward data-driven business insights and self service tools where customers can easily manage and purchase applications and devices within the Electric platform.
“More than ever the American economy depends on the vibrancy of SMBs, and SMBs depend on IT to grow their business,” said CEO and Founder Ryan Denehy. “Electric is enabling a world where businesses can buy and manage IT through a single cloud-based platform, keeping businesses secure and delivering a remarkable employee experience. We have known the team from Harmonic for quite some time, and felt it was a great opportunity to leverage the firm’s extensive network of software industry CEOs and operators.”
The new funds will also be used for additional strategic acquisitions, and expanding into new markets and verticals. The company completed acquisitions of Techvera and Sinu last year and expects to identify more strategic opportunities in 2022. Since its founding in 2016, Electric has grown to become one of the largest IT providers in the country serving close to 1,000 customers and 45,000 end users across clients including: TrustRadius, Otter.ai, Boxed and TULA Skincare.
“We’re thrilled to put our support behind Electric as their technology redefines what IT support looks and feels like for businesses,” said Dave Yarnold, CEO Partner with Harmonic, and former CEO of ServiceMax and VP Global Sales at SAP SuccessFactors. “Electric supports modern work by truly simplifying and delivering lightning-fast IT–a need-to-have for small businesses in this environment.”
Electric is backed by GGV Capital, Bessemer Venture Partners, Primary Venture Partners, Greenspring Associates, 01 Advisors, Atreides Management, Vintage Investment Partners, Slack Fund and Harmonic Growth Partners.