You don't have to open too many envelopes to find companies everywhere are encouraging customers to go paperless and pay online. But that doesn't mean every company's online payment platform is up to speed with today's digital ecosystem.
That's where Austin-based Episode Six has found its niche in developing software that helps businesses, including banks and other fintech companies, implement modern payment processing systems and virtual ledgers for their digital cash registers.
The startup, founded in 2015, said May 23 it raised $48 million in new venture funding to help it expand its reach and grow its team. The series C round was led by New York-based investment firm Avenir. Santa Monica-based firm Anthos Capital, which had previously invested in Episode Six, also joined the round.
The new money brings the company's total funding to nearly $100 million.
Episode Six was co-founded by CEO John Mitchell, Chief Technology Officer Futeh Kao and Chief Financial Officer Chermaine Hu, who last year was one of the winners in the Austin Business Journal's Best CFO Awards.
In an email interview, Mitchell said Episode Six currently has 150 employees globally, including about 50 at its Austin headquarters at 201 W. Fifth St. The company plans to add about 50 additional employees by the end of 2023, and it might expand at its current location. The company declined to share revenue figures or its valuation.
The company operates globally in 38 countries. Mitchell said Episode Six's customer list includes HSBC and SBI Sumishin Net Bank, as well as a broad group of global and domestic clients. In the U.S., that includes TransPecos Banks, Summit National Bank and Nomi Health.
For example, TransPecos uses Episode Six's Tritium platform as a virtual account ledger to sponsor their customers and as an issuer processor to sponsor credit card programs.
“The burden of relying on legacy technology continues to present challenges, especially at a time when innovation is key to winning and retaining customers," Mitchell stated. "This, paired with the rising cost of operating legacy technology, is the reason we are seeing a significant increase in interest in our solution."
Episode Six's new funding comes during a downturn in venture capital funding for startups across the nation. But the new round is part of a recent flurry of big announcements from Austin-based startups, including a $100 million round announced by Eagle Eye Networks last week.
