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Frontegg raises $40M to solve user management for B2B SaaS


News provided by

Frontegg

Jul 28, 2022, 11:00 ET

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Frontegg's robust B2B SaaS infrastructure provides a user management platform for the full user journey, from signup to subscription, scaling from hyper-growth startups to enterprise leaders

TEL AVIV, Israel, July 28, 2022 /PRNewswire/ -- Frontegg, the leading user management platform for B2B apps, announced today $40M in series B funding co-led by Stripes and global software investor Insight Partners. This follows last December's $25M Series A and brings the total amount raised from leading VCs including Pitango First, Global Founders Capital and i3 Equity, to $70M. Frontegg will use the funding to expand its product offerings and invest in infrastructure, as well as scale its R&D and go-to-market teams in Tel Aviv and the San Francisco Bay Area.

The SaaS industry has experienced tremendous growth in recent years, with Gartner forecasting that SaaS spending will reach $208B in 2023, up from $176B in 2022. Research undertaken by Frontegg found more than 70% of the Series A funding rounds announced this year were raised by B2B SaaS companies.

Customers now expect business apps to offer a comprehensive user management experience, creating a challenge for development teams. "Nowadays, users of business apps expect to seamlessly sign up for products using modern authentication methods, invite team members, control their roles, define organization-wide security policies and upgrade subscription tiers," said Sagi Rodin, CEO and Co-founder of Frontegg. "Building these capabilities in-house is extremely resource-intensive due to their complexity, sensitivity and scope. Existing user management products offer partial solutions because they only solve authentication and are built to manage individuals, not teams and organizations."

Frontegg is the only solution that provides robust and scalable user management infrastructure for B2B SaaS, handling the full user journey, from signup to subscription. The platform is multi-tenant at its core, which enables organization-level granularity for any setting or configuration. For a comprehensive user experience, Frontegg offers a self-serve Admin Portal, which provides the user with full visibility and control over their personal and organizational settings.

Frontegg's offering emphasizes ease of deployment and rapid time-to-value while providing a highly scalable solution. The platform enables development teams to quickly get started as well as provides a rapid migration path for companies that have outgrown legacy user management solutions. This makes Frontegg a popular choice for companies from critical industries such as Fintech, Cybersecurity and medical.

"Frontegg provides always-on critical infrastructure that is built for reliability at scale," said Aviad Mizrachi, CTO and co-founder at Frontegg. "Downtime is unacceptable for capabilities that are at the core of an application — many customers migrated to Frontegg from legacy solutions due to recent outages. We take the responsibility of building critical infrastructure very seriously and this investment will allow us to continue to provide a solution our customers feel secure relying on."

Frontegg has capitalized on the growth in popularity and product standardization of business applications to achieve explosive growth since its public release in late 2021. The company now serves as the user management infrastructure for more than 150 B2B SaaS companies around the globe, from fast-growing startups to Fortune 100 companies. Customers include Datadog, Materialize, Okera, Hunters.AI, Tomorrow.io and more.

"What blew us away about Frontegg was how much their customers love the product," said Saagar Kulkarni, partner at Stripes. "Building and maintaining world-class user management has become an increasingly heavy burden on development teams. In turbulent economic times like these it's more important than ever for B2B SaaS companies to go to market fast — but with a mature product that is in line with today's user's expectations from business tools. Frontegg provides an exceptional user management experience out-of-the-box so that SaaS companies can quickly ship winning products."

About Frontegg

Frontegg provides a robust user management platform for B2B SaaS applications supporting the full user journey, from signup to subscription. The scalable solution can be easily integrated into any product, allowing development teams to stay focused on building their core product, while Frontegg handles the heavy lifting of go-to-market capabilities. Since its founding in 2019 by Sagi Rodin (CEO) and Aviad Mizrachi (CTO), Frontegg has raised $70M from top-tier global VCs and serves as the user management infrastructure for leading B2B SaaS companies around the globe, from fast-growing startups to Fortune 100 companies.

About Stripes:

Stripes is a leading growth equity firm that partners with founders who are building amazing products in the software and consumer markets. Stripes strives to serve its partners by delivering valuable resources to create transformative companies. For more information please visit Stripes."

About Insight Partners

Insight Partners is a global software investor partnering with high-growth technology, software, and Internet startup and ScaleUp companies that are driving transformative change in their industries. As of February 24, 2022, the closing of the firm's recent fundraise, Fund XII, brings Insight Partners' regulatory assets under management to over $90B. Insight Partners has invested in more than 600 companies worldwide and has seen over 55 portfolio companies achieve an IPO. Headquartered in New York City, Insight has offices in London, Tel Aviv, and Palo Alto. Insight's mission is to find, fund, and work successfully with visionary executives, providing them with practical, hands-on software expertise to foster long-term success. Insight Partners meets great software leaders where they are in their growth journey, from their first investment to IPO. For more information on Insight and all its investments, visit insightpartners.com or follow us on Twitter @insightpartners.

Media Contact:

Gavriel Cohen
[email protected]
+914-336-4633

SOURCE Frontegg

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