Accelerize Inc. announced a new $8 million credit facility from SaaS Capital, a provider of committed credit facilities to SaaS companies. The funds will be used to retire the outstanding balance of the company's current credit facility (approximately $4.6 million as of December 31, 2015), drive global sales growth of its CAKE digital marketing solutions into new and existing markets, and further its leading position in digital marketing software through continued product innovation. Accelerize recently reported record full-year 2015 revenue with 30% year-over-year sales growth and achieved profitability on an adjusted EBITDA basis in Q4.
"We are pleased to have secured this new facility with SaaS Capital, a partner who truly understands the SaaS business model. It provides us with significant, efficient capital to grow for the foreseeable future," said Anthony Mazzarella, CFO at Accelerize. "This new facility is substantially larger than our previous line of credit and features a structure and covenants designed specifically for growing SaaS companies. With this new larger and more flexible facility we are focused on accelerating our revenue growth and increasing bottom-line profitability. We also look forward to exploring strategic opportunities to further enhance the value of our company for the benefit of our stockholders."
Accelerize owns and operates CAKE, a marketing technology provider of solutions that track and analyze the performance of digital marketing spend, in real-time. CAKE's powerful software-as-a-service (SaaS) enterprise platform is an industry standard for affiliate networks, advertisers, publishers and agencies to measurably improve and optimize campaign performance and return on investment.
Digital media will continue its meteoric rise and marketers are being driven to invest more in technology to optimize their digital marketing spend. According to Statista, worldwide digital ad spending grew 16.4% last year, to $170.1 billion, and it is projected to reach $252.02 billion by 2018. By the end of 2017, digital ad spend is expected to overtake TV as the biggest advertising category (Interpublic Group's Magna Global).
"Marketing is more important than ever and the CAKE product is at the center of that industry – if you don't understand the ROIs of your different marketing efforts, then you are being inefficient and ineffective. And it's not enough to just track one or two channels; CAKE optimizes marketing campaigns across all digital channels," said Rob Belcher, Managing Director of SaaS Capital. "The product, team, and track record are all very impressive and we're excited to partner with Accelerize for the next phase of the company's story."
Focusing exclusively on the SaaS business model, SaaS Capital delivers faster decisions, more capital, and longer commitments. SaaS businesses have used SaaS Capital's Committed Credit Facilities, instead of equity, to finance growth and create hundreds of millions in enterprise value without sacrificing significant ownership or control. Also, through its partnership with DH Capital, a boutique investment banking advisory firm, SaaS Capital can assist with M&A and capital raising services. SaaS Capital has offices in Cincinnati, New York, and Seattle.
Accelerize Inc. offers marketing technology solutions that revolutionize the way advertisers leverage their digital advertising data.