Strong growth proves SMEs’ need for a modular, easy-to-use cloud-based ERP platform
Augsburg, Germany – August 17, 2021 – xentral, the leading lean ERP (enterprise resource planning) system for small and medium-sized businesses, today announced that it has raised $75 million in Series B funding from Tiger Global and Meritech complementing the existing round of investors with Sequoia Capital, Visionaries Club and Freigeist.
New Capital to fuel UK expansion, hiring, and further product development
xentral will leverage today’s investment to enhance product development, hire staff and push the UK expansion to address the global cloud-based ERP market, which is expected to grow to $32 billion by 2023. R&D investments will fuel product advancements such as bringing the user experience to a next level, further expanding the Appstore, strengthening the existing ecosystems and bringing in new partners. To keep pace with the growing customer demand and to support the upcoming product launch in the UK, Xentral plans to double its headcount by expanding its remote workforce and hiring international staff.
“Meritech invested in NetSuite in 2008 with the vision of bringing ERP to the cloud,” said Alex Clayton, General Partner at Meritech. “And today, with Xentral’s intuitive yet comprehensive business platform, we believe that Xentral will bring automation to hundreds of thousands SME businesses dramatically improving multi-channel processes and data management in an ever-growing e-commerce market.”
John Curtius, Partner at Tiger Global, said: “Our diligence has uncovered a delighted customer base at Xentral and a product offering that has evolved into a true mission-critical platform for ecommerce merchants globally. We are excited to partner with such product visionaries as Benedikt and Claudia as the business scales to serve customers not only in Europe but around the globe in the future.”
Strong e-commerce momentum
Founded by Benedikt and Claudia Sauter, Xentral provides startups and SMEs with an easy-to-use and cost-effective ERP system, filling a gap in a world of complex, inflexible and expensive legacy systems. e-commerce in Europe alone is forecasted to exceed $800 billion in 2021 as hundreds of thousands of businesses are turning to platforms like Amazon, eBay, Shopify to sell online. Xentral’s lean ERP solution allows these companies to digitize and automate their back-end processes such as procurement, order and warehouse management, packaging, fulfilment, and accounting.
“Our goal is that a business owner who decides on Friday that they need a flexible ERP can implement and configure Xentral over the weekend and hand it over to their team on Monday”, said Benedikt Sauter, founder and CEO of Xentral. “SMEs regardless of their industry can minimize administrative overhead, maximize process efficiency, and focus on building new products and services for their customers.”
Customers are enthusiastic about the value that Xentral brings to their businesses. Julia Vendramin, co-founder of UK-based LABELL-D, points out: “We have chosen Xentral as our ERP system due to its agility and strong link with the e-commerce infrastructure. It has been an absolute pleasure to work with the team and the onboarding process has been very efficient and straightforward. We are extremely happy with our choice.” In recent years, Xentral has become the ERP system of choice for many more companies such as Ergotopia, Paper & Tea, or Majamo.
“It’s no surprise that Xentral is experiencing such rapid growth,” said Brandon Deer, Vice President Operations & Strategy, UIPath and early investor at Xentral. “The foundation of RPA is digitizing processes and the Xentral team has tapped into that same vein. Businesses are moving online out of necessity now and Xentral provides a centralized operating system by which to run these new digital workflows. It’s a perfect storm and they timed it flaw