The Bend software company LeadMethod has raised $1 million in venture capital, which will help grow its sales force and customer base of large industrial manufacturers.
LeadMethod targets large manufacturers that sell their products through independent sales partners and distributors. The software helps those sales partners track sales leads and sends information on the sales pipeline back to the manufacturer.
The seed-funding round, which is expected to close this month, will be led by Acequia Capital of Seattle, LeadMethod founder Justin Johnson said. Acequia’s partners, who couldn’t be reached for comment, had careers at Microsoft and bring expertise in building software for large, global companies, he said. Acequia managing partner Hank Vigil led marketing and brand management efforts in the early 1990s for Microsoft’s desktop applications, including Excel, according to the firm’s website.
LeadMethod is unusual in the progress it’s made since raising about $400,000 in 2015, said Jim Huston, managing director of the Portland Seed Fund. The Portland Seed Fund contributed to LeadMethod’s initial funding and doubled down with an investment in the current round, he said.
At the Bend Venture Conference in October, where LeadMethod landed $500,000 in funding, Johnson said LeadMethod had $750,000 in annual recurring revenue and 30 clients. Johnson said Thursday the company’s annual revenue and client base have grown beyond the figures stated in October. He declined to provide more specific information.
Johnson has been methodical in building his company and with the new capital will be able to “light the rocket on this,” Huston said.
Anticipating the venture funding, LeadMethod began hiring software developers, sales reps and client-success managers this fall. LeadMethod moved into a larger office in November and will have about 20 employees by January, Johnson said.
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