This week, San Francisco-based startup Merge announced its $4.5 million fundraising. This round was led by NEA, joined by angel investors including former MuleSoft CEO Greg Schott, Cloudflare CEO Matthew Prince, Expanse co-founders Tim Junio and Matt Kraning, and Jumpstart CEO Ben Herman.
Using a unified API, Merge provides B2B companies the ability to access and integrate data from all human resources, payroll, recruiting, and accounting platforms. Along with these integrations, the company also offers an application management tool that automatically detects issues where an IT team would have to get involved and eliminates the engineering burden on the customer. With this new capital, Merge is looking to expand its platform to different areas, likely starting with customer relationship management systems.
Why This Transaction?
York IE chose this as our transaction of the week to highlight how COVID-19 changed the landscape of the digital transformation of businesses, and how companies are either ramping up efforts or completely evolving their strategies to become digital-first companies. Businesses are now forced to focus on how they can still perform at a high level by becoming more digitally dependent. In fact, in a survey done by Google Cloud, out of 700 IT-decision makers, 65% concluded that they were accelerating investment in their digital transformation journey, while 75% of them stated that they have not slowed down their progress even with the pandemic.