An Atlanta-based startup that uses technology to track items and merchandise throughout the supply chain journey has closed a funding round.
LocatorX raised $6.6 million from angel investors to support product development and expansion in sales and marketing positions. The round brings the company's total funding raised to about $10 million.
In addition to the funding announcement, LocatorX also appointed former UPS CFO Kurt Kuehn to its board of directors.
CEO Scott Fletcher said the company's technology has broad applications, which has attracted several investors and veteran board members like Kuehn.
"He brings that financial expertise to the board that finishes out the board that we had," he said.
LocatorX is an IoT solution that tracks and authenticates products throughout the entire supply chain process across all industries. Most recently, the company has seen an influx of need to support the health care community during the global coronavirus pandemic, Fletcher said.
"What’s happened with the pandemic and the disruptions in supply chain --- what we’ve found is the most important items for people right now are ventilators and health care equipment," he said.
The startup is in a strong position on a number of fronts to assist this high demand, Fletcher said. While a number of startups throughout the country are feeling the economic burden of the pandemic, LocatorX has been fortunate enough to have a technology and setup that allows them to add staff while utilizing funds and resources to move forward.
The current team of 22 employees all work remotely across Georgia, Austin, Maine and California, so they were already prepared for the national move to working from home, CFO Bruce Candebat said. The team was able to quickly shift its focus to helping the health care industry with supply chain due to their ambiguity.
"That’s the benefit of the company not focusing on a single industry," he said. "That’s one of the things these investors like the most about the company."
Prior to the pandemic, LocatorX was planning for a larger round near the end of the year, Fletcher said. The company will continue to strive toward that plan but will also consider other alternatives if need be, he said.
"I would say that our revenue growth or customer growth looks very strong, based on where we’re at today and the visibility we have going forward... We’re staying abreast to what’s going on," he said.
