On Wednesday, PandaDoc, a document automation startup for sales representatives announced it securing $5 million in Series A round of funding.
Founded in 2014, PandaDoc is a sales content automation software startup that provides document automation solutions for sales teams by allowing the capabilities of CRM systems they already use. This serves a sales team with many features like professional standardized document templates for sales collateral that consists of quotes, proposals, business plans and invoices. Apart for this, it also permits the team to provide electronic signatures and conduct various types of document analytics. This has paved way to improving of the sales documents that present a more professional and consistent image and closing of the deals faster.
With the new round of funding, the company aims to expand its own sales and marketing department. It has been working for the major portion using inbound marketing and many of its customers are small businesses. Though it has some larger customers like Panasonic, it is looking forward to attract more big scale enterprise customers, for which additional sales team is required and so working to expand its team of 35.
The initial response to the product and services have been quite good and the company claims it built up $1 million in annual recurring revenue in its first six months of operation. It boasts that 68% of documents created in the system were built and sent back from customer with a signature in a time frame of one day of document creation and it increased to 37% in just 1 hour.
Regarding the investment, Ho Nam, General Partner at Altos Ventures said, “We believe that enterprise products built for the end users are the ultimate winner. The PandaDoc team definitely has the product genome to make that happen.”