With so much startup activity in the software-as-a-service (SaaS) space, it can be a challenge for businesses to figure out which of these SaaS (SaaSes?) Are really useful and worth spending on. Well Cologne-based startup Sastrify is here to help, offering what it describes as a “highly automated” platform (covering more than 20,000 SaaS solutions) to help other companies with the acquisition and management of third-party services.
It may not sound like the sexist startup business, but despite its launch earlier this year, Sastrify already has positive cash flow and can tout “high 6-digit recurring income” just a few months after launch. Not bad for a startup that was founded last summer.
Today announces the closing of a $ 7 million seed round of HV Capital and the founders of FlixMobility, Personio and SumUp. That follows a $ 1.3M pre-seed raised in late 2020, before its release.
Sastrify tells us it has around 50 clients at this stage, including “unicorn startups like Gorillas.” He says his approach works best for growing companies with more than 100 employees, and may be particularly suitable for European technology expansions.
On the competitive front, the startup is targeting US-based companies. Come and Tropic, which can further explain the regional approach (although it is not only sold in Europe).
Sastrify’s sales pitch for SMBs includes that current customers have seen an average return of 6.5 times their investment, in addition to what it bills as “thousands of man hours” saved from “wasted” activities related to acquiring SaaS. .
Cost savings are another carrot, which the startup claims its customers “typically” save around 20-30% of their SaaS cost.
So how do you make it really easier for businesses to navigate the pros and cons of the SaaS smorgasbord now available?
“Our main mantra is: ‘Effective acquisitions ask the right questions at the right time,’” says co-founder Sven Lackinger, who previously co-founded a SaaS startup himself, of course (evopark), and left that company in 2018.
“To ensure that we have defined and implemented a 5-step process on our platform, which covers the entire life cycle of SaaS applications within companies. Our clients can search for the right SaaS solutions as we guide them through the correct assessment process by use case and tool (e.g. what are similar companies using?).
“Then we take care of the entire purchasing process, also known as automatically reaching out to different vendors, comparing and evaluating offers based on ai / OCR. Once the tool is deployed, we make sure to track usage frequently (through regular, automated surveys of tool owners) and reassess over time so there is no ongoing license waste. “
“We have a more automated platform [than Vendr and Tropic] and we can also resell licenses to our customers directly (for example, for Google, Microsoft and others) to guarantee the best prices and fast delivery, ”he also tells us. “This allows us to offer a faster and cheaper solution that is better suited to the European market (where average SaaS spend per business is still lower than in the US).”
If you are outsourcing all of these other things to SaaS providers, why not get a specialized service to be on top of how you do it too? It is the basic idea.
Sastrify’s 30-member team will use the seed funding to accelerate sales, marketing and product development in order to expand its SaaS management service to more companies in Europe and beyond.
Commenting on the financing in a statement, Jasper Masemann, a partner at HV Capital, added: “The adoption of software in the cloud is accelerating enormously and almost all companies today use SaaS products but they do not buy or manage them efficiently. Sastrify’s staggering growth underscores the extensive customer value the team has already created. It is early, but Sastrify could create a SAP Arriba with a payment solution for SMEs, a mass market only in Europe. “