Jacksonville venture capital fund PS27 recently announced it had invested in Boston-based software developer OnRamp with its newest fund, named Titan.
OnRamp, a developer of customer onboarding and implementation software, aims to "enable white-glove customer success at scale" by cutting out the busywork with workflow automation.
The company, founded in 2019 Paul Holder and Ross Lerner, underwent a pre-seed round of funding in 2020 as well as a seed-round of funding in 2021 and haas raised between $1 million and $10 million, according to investment and funding tracker Crunchbase. PS27 did not disclose the financial consideration of the investment.
The Business Journal caught up PS27 CEO and Founder Jim Stallings to talk about the company, its goals and growth potential. Here is a lightly edited transcript:
Tell me a little bit about OnRamp and what makes them unique?
What appeals to us about this solution is its ability to address a common problem encountered in business operations on a daily basis. The issue at hand is the lengthy process involved in activating new customers, particularly for smaller companies, which can be even more cumbersome than for larger corporations. Typically, it takes months to onboard new customers, contrasting sharply with the swift activation process seen in social media account setups, for instance. In the realm of supply chain management, where companies are dealing with products and distributing them through extensive networks, the onboarding process can stretch out over weeks or months due to manual procedures involving various departments such as accounting, marketing, finance and legal.
Despite assumptions that such inefficiencies had been resolved, this remains a persistent challenge. However, these innovators have developed a program, enhanced by artificial intelligence, to facilitate self-installation and onboarding for companies. This program streamlines the process, making it as intuitive as setting up an app on a personal device. It feels almost as though the system itself is personified, guiding users through the necessary steps and assisting in filling in basic information automatically. While seemingly straightforward, the complexity of large enterprises complicates this task. Yet, in the era of digitalization, there is a growing need for companies to have comprehensive digital profiles of their suppliers, including certifications, workforce details, and geographic locations. This automation solution addresses these complexities efficiently, aligning with our preference for companies that tackle significant challenges with streamlined solutions.
Who are some of their existing clients and what are some usecases?
They've secured a major distributor along with several smaller to mid-sized distribution and marketing companies contributing to their revenue growth. Their rapid expansion is challenging to keep up with, particularly given the widespread nature of the problem they're addressing... which is surprising because many companies attempt to solve this issue internally.
Consider a scenario where a supplier is doing business with a large customer. The customer has its own unique procedures and systems in place. Now, if I have the same product but want to enter another distribution network, I'd face a whole new set of requirements and standards. The onboarding program identifies which platform or supplier you're working with and understands all the necessary protocols, standards and certifications. It takes care of this complexity for you, only requiring unique and confidential information that you alone can provide. This streamlined process offers significant benefits to companies, as every day saved translates to either cost savings or increased revenue in the competitive marketplace.
What makes them an attractive investment opportunity?
As I mentioned, they're effectively addressing this problem. Within our extensive portfolio of companies, this issue is pervasive. It's notable that they can provide solutions for multiple companies within our portfolio, all of which I'm intimately familiar with. They were persistent in highlighting the superiority of their technology compared to others in the market. After thorough comparisons and actual usage over time, their system demonstrated its effectiveness. Our selection process is meticulous, and we fully immerse ourselves in the technologies we invest in, becoming active users. Once their system began effectively resolving our challenges, its value became undeniable.
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