Total amount raised
$1.4 Billion
Latest funding date
4/1/2019
Location
Zuora has successfully raised significant funding through multiple rounds, culminating in its acquisition by Silver Lake for $1.7 billion. The company provides cloud-based software designed to help businesses manage their subscription services.
Keep reading to explore the intricacies of Zuora's fundraising journey and the investors backing this innovative platform.
What Is Zuora?
Zuora, founded in 2007 in Redwood City, California, specializes in cloud-based software for subscription management. The company was established by Cheng Zou, KV Rao, and Tien Tzuo.
Zuora's platform automates the subscription order-to-cash process, including quoting, billing, collections, analytics, and revenue recognition. Their products include Zuora Billing, Zuora Revenue, Zephr, Zuora Payments, Zuora CPQ, and Zuora Platform.
With a workforce of 1001-5000 employees, Zuora continues to lead in providing innovative solutions for businesses transitioning to subscription-based models.
How Much Funding Has Zuora Raised?
- Series A
- Amount Raised: $6.5M
- Date: March 2008
- Lead Investors: Benchmark
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop the initial product and establish market presence.
- Series B
- Amount Raised: $15M
- Date: October 2008
- Lead Investors: Shasta Ventures, Tenaya Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand product capabilities and scale operations.
- Series C
- Amount Raised: $25M
- Date: November 2010
- Lead Investors: Redpoint
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To accelerate growth and enhance the platform's features.
- Series D
- Amount Raised: $36M
- Date: November 2011
- Lead Investors: Greylock, Index Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support international expansion and increase market penetration.
- Series E
- Amount Raised: $50M
- Date: September 2013
- Lead Investors: NextWorld Capital, Northgate Capital, Vulcan Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further expand globally and enhance product offerings.
- Series F
- Amount Raised: $115M
- Date: March 2015
- Lead Investors: Not publicly disclosed
- Valuation at Round: Close to $1 billion
- Motivation Behind the Round: To support global growth, expand the team, and continue R&D activities.
- Secondary Market
- Amount Raised: Not publicly disclosed
- Date: June 2016
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To provide liquidity to early investors and employees.
- Secondary Market
- Amount Raised: Not publicly disclosed
- Date: March 2017
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To offer liquidity options for stakeholders.
- Post-IPO Equity
- Amount Raised: $400M
- Date: March 2022
- Lead Investors: Silver Lake
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To fuel further growth and strategic acquisitions.
- Private Equity Round
- Amount Raised: Not publicly disclosed
- Date: October 2024
- Lead Investors: Not publicly disclosed
- Valuation at Round: $1.7 billion
- Motivation Behind the Round: To leverage resources and expertise for scaling the business.
Zuora has raised a total of $647.5M with a current valuation of $1.7 billion.
Key Investors
- Silver Lake
- Details: Silver Lake is a global private equity firm focused on technology investments. They acquired Zuora for $1.7 billion in October 2024.
- Investment Focus Areas: Technology, software, internet.
- Notable Investments: Dell Technologies, Airbnb, Twitter.
- Benchmark
- Details: Benchmark is a venture capital firm known for investing in early-stage startups. They led Zuora's Series A round in March 2008.
- Investment Focus Areas: Early-stage technology startups.
- Notable Investments: Uber, Twitter, Snapchat.
- Greylock Partners
- Details: Greylock Partners is a venture capital firm that invests in technology companies. They led Zuora's Series D round in November 2011.
- Investment Focus Areas: Enterprise software, consumer internet, technology.
- Notable Investments: LinkedIn, Airbnb, Facebook.
- Redpoint Ventures
- Details: Redpoint Ventures is a venture capital firm focusing on early and growth-stage investments. They led Zuora's Series C round in November 2010.
- Investment Focus Areas: Early and growth-stage technology companies.
- Notable Investments: Netflix, Stripe, Twilio.
- Index Ventures
- Details: Index Ventures is a global venture capital firm investing in technology and life sciences. They co-led Zuora's Series D round in November 2011.
- Investment Focus Areas: Technology, life sciences.
- Notable Investments: Dropbox, Etsy, Skype.
What's Next for Zuora?
Zuora stands at the cusp of significant growth opportunities, driven by the expanding subscription economy. With a robust $115 million investment, the company is poised to venture into new geographies and vertical markets, enhancing its platform to meet the evolving needs of various industries. This financial backing underscores the vast potential for Zuora to capitalize on the increasing demand for subscription-based services.
Future fundraising opportunities appear promising, especially with the potential for an IPO as Zuora nears a $1 billion valuation. This could provide additional capital to fuel further expansion and innovation. However, the company must navigate challenges such as intense competition from other SaaS providers and managing rapid global growth while maintaining service quality.
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