Every year, Atlanta usually has a couple of unicorns, the nickname for private companies that reach $1 billion valuations.
Now, Atlanta boasts four: Calendly, Greenlight Financial Technology, OneTrust and SalesLoft, showing how the city's tech ecosystem is maturing.
Calendly and SalesLoft joined the ranks this year, with two massive funding rounds. Greenlight hit the mark last fall.
Several trends are converging to create more Atlanta unicorns, tech leaders say. National investors now see Atlanta as a formidable innovation hub, spurring an influx of capital for growth. Georgia saw more than $2 billion in venture capital in 2020, up 142% from 2016, according to Crunchbase. The city is also seeing more local, early-stage venture capital firms and creating spaces and incubators that foster innovation.
At a recent Metro Atlanta Chamber event, SalesLoft CEO Kyle Porter said historically Atlanta's culture often led entrepreneurs to sell their startups rather than continue growing them into potential unicorns. But his own decision shows how the culture is starting to change. Early in his company's life, Porter had an opportunity to sell SalesLoft. One reason the Georgia native declined: he wanted to be part of the city’s success story.
"We need to have this attitude that we can create multi-billion dollar businesses, and we shouldn’t stop along the path of getting there,” Porter said at the Chamber event. “That’s a mind shift the Bay Area has had for a longer period of time.”
Determining company valuations is an opaque process. Investors base valuations on funding deals, company revenue and the state of the market. But, private companies do not have to publicly disclose data. Even so, Atlanta Business Chronicle felt that it was time to pause and notice a new and important trend. Based on market research and fact-checking with sources, here are five Atlanta startups possibly on their way to unicorn status.
CallRail, CEO Andy Powell
Marketing analytics firm CallRail has $132 million in investment capital after 10 years in business. It most recently raised a $56 million round from existing investors Sageview Capital and Leaders Fund late last year. In 2017, the startup had a $160 million valuation, according to the Atlanta Business Chronicle. In May, the startup bought its first company, PhoneWagon, a New York City-based call tracking software company.
CallRail has more than 180,000 customers and $60 million in annual recurring revenue. Businesses use its platform to gain insight into where phone call-based sales leads are from, and which marketing campaigns are effective. The startup has more than 200 employees and local and national recognition for its fast-paced growth.
Flock Safety, CEO Garrett Langley
Neighborhood watch startup Flock Safety produces surveillance equipment and cameras that read license plates to help police and neighborhoods solve crimes. Neighborhood groups can pull footage from a specific time and place to use as evidence, or local police may get notified if the camera picks up a vehicle on the FBI’s most wanted list.
The startup, founded in 2017, has more than 200 employees and saw a 400% revenue increase in 2020. It has cameras in more than 1,000 cities. Rising crime rates and a need for cost-effective tools for police departments with tight budgets are fueling its growth. Flock Safety raised a $47 million Series C round last November, a $15.8 million last April and two $20 million rounds in 2018.
FullStory, CEO Scott Voigt
Digital experience analytics startup FullStory was founded in 2014 by Google engineers. It has more than 3,100 clients in 60 countries that use its platform to understand, measure and improve the online experiences for their customers. Clients include Hyatt, JetBlue, Peloton and Zillow.
The startup raised $32 million in 2019 and has $57 million in total funding. Stripe, Dell Technologies Capital, GV (formerly Google Ventures) and Salesforce Ventures back the company. Atlanta Business Chronicle named FullStory the fastest-growing company in the marketing category and No. 28 in the Pacesetter Awards with a 166% revenue growth between 2018-2020. The company has more than 200 employees and plans to add 100 more by the end of the year. It’s currently expanding its leadership team.
Stord, CEO Sean Henry
Logistics startup Stord raised $100 million in six months from prominent West Coast investors, including Bond, Founders Fund and Salesforce Ventures. Stord produces cloud-based supply chain management software and a logistics network to help companies deliver products more efficiently. Its logistics network covers about 99% of the U.S. for two-day shipping.
Overall revenue grew about 500% in 2020. Stord has 160 employees and plans to double that number by the end of the year. This time last year, the startup had just 40 people on the team. Last May, Stord bought Cove Logistics to expand into freight services. Customers include brands such as Tyson Foods, Schneider Electric and Dollar General. The startup came out of Georgia Tech’s CREATE-X program in 2015.
Terminus, CEO Tim Kopp
Marketing technology startup Terminus is undergoing an international expansion and accelerating hiring and product development. The startup provides an all-in-one platform for account-based marketing so companies can better target potential clients. It raised $90 million last month, which CEO Tim Kopp said was to keep up with demand. Its total investments are $120 million.
Terminus, which was founded in the Atlanta Tech Village in 2014, has bought four companies in the last three years to expand its product offerings. It has more than 200 employees in Atlanta, Indianapolis and San Francisco.
