Payments software provider SpotOn Transact LLC has received $40 million in new funding from Franklin Templeton and participant Dragoneer Investment Group.
San Francisco-based SpotOn says the funding will aid its payment processing expansion into new markets and add to its growth, at more than 400% in the past year. In addition, the company plans to expand its sales team by adding 100 employees in its fast-growing SpotOn Restaurant division.
Franklin Templeton, a global investment management organization, seeks retail clients to add to its portfolio when making its investments in more than 170 countries.
“SpotOn’s rapid growth and ability to bring real value to the small and medium-size market has been incredibly impressive,” Chris Anderson, vice president and portfolio manager at Franklin Templeton, said in a Tuesday press release.
As much as any other factor, Franklin Templeton valued some flexibility in SpotOn's software platform that helps many retail sectors.
“Whether you’re a restaurant looking for a cloud-based point-of-sale solution, a salon looking to book appointments through a custom-built website, or an auto repair shop looking for ways to build relationships with customers, SpotOn has developed a variety of powerful solutions for all types of merchants,” Anderson said.
The funding news comes less than three months after
In the past year, SpotOn has also acquired EmaginePOS to help develop its restaurant POS offerings, and also Lifeyo, a company focused on customizing websites for merchants.
Matt and Zach Hyman founded SpotOn in 2017 with fintech entrepreneur Doron Friedman after selling Central Payment to Total System Services for $840 million.
“Small and medium-sized businesses are starved for solutions to help them grow and function,” Matt Hyman said in the release. “SpotOn is redefining how SMBs operate by offering tools previously only accessible to customers with deep pockets or massive teams."
But for SpotOn, it’s more than just tools and technology, Hyman added. "It's about our team's unique personal approach to help our clients navigate through these new technologies.”
SpotOn says it integrates payments capabilities within its software at the POS, offering various business management tools, digital loyalty and marketing services, scheduling and appointments software, and the ability to customize websites.
