It’s been about two years since Portland startup executive Scott Roth took over the top spot at LegitScript. Since then, the company has added dozens of employees, moved to a new office, added a new private equity backer and expanded its customer base.
More of that is planned for 2023.
“We are in investment mode,” Roth said.
LegitScript has been around since 2007 and had kept a relatively low profile. The company works with search engines, e-commerce platforms and payments companies to ensure that merchants and products and services on websites are legitimate businesses and following regulations. The company uses big data and machine learning software plus experienced staff to monitor and certify entities.
Since June 2020, the company has grown from 115 employees to more than 200. About 150 employees are in the Portland metro.
“We are in a good position. We are not planning to add as many people as we have the last couple of years. We want to be cautious. But, we will add people into the business (next year)," Roth said.
What is LegitScript?
The company works with the likes of payment processor Square or search engine Google. Its platform and merchant monitoring business has seen its customer base grow significantly since Roth took over, going from about 20 enterprise customers to approaching 100.
LegitScript also has certification programs for companies in certain kinds of businesses that are required by platforms, like Google, Bing and TikTok, in order for companies to advertise or sell on those platforms. LegitScript certifies businesses in online health care like pharmaceutical sales or in addiction treatment centers.
The certification program is aimed at areas that can sometimes have bad actors. Tens of thousands of companies are certified by LegitScript, which continues to monitor those entities once they are certified, said Roth.
LegitScript profitable foundation and growth
Company founder John Horton built LegitScript in a profitable way and didn’t take any outside funding until 2019 when private equity firm PSG took a majority stake, said Roth. Earlier this year, PSG was joined by The Jordan Co. in ownership of LegitScript.
As the company has grown revenue and profitability it is poised to move to the next level, said Roth.
For 2023, he plans to strengthen the current business and expand the company’s reach among existing clients. He is also looking to raise the profile of the company and expand both internationally and into more business lines.
The company has fully shifted to a hybrid office model. It has an entire floor within its building in Slabtown. Roth is in the office most Mondays through Thursdays but the company policy allows employees to come in when they want.
“The executive team is in (the office) a good amount. Outside of that we made it optional for folks to choose what works best for them,” he said, noting there are anywhere from 15 to 20 people in the office on a given day.
The office is set up with a third of the space for desks, a third for meeting space, which includes conference rooms set up for hybrid meetings, and a third for community space where the company or individual teams can gather.
“I joined in the pandemic, so I never knew the company when it was all in-person,” he said. “This is all I have ever known. It’s a model I’m comfortable with. We are preforming well, so we’re not going to rock the boat.”
Roth is also happy with the move from The Pearl to Slabtown. The amenities, proximity to Forest Park and the neighborhood feel with people around all bring the vibe he was looking for.
“It’s appealing to draw people in (to the office) if they wanted the surrounding area,” he said.
