Merge grows ARR 26X in the past 12 months as demand for software integrations booms
Merge, the Unified API for B2B integrations, announced the close of a $55 million Series B funding round led by Accel, with participation from existing investors NEA and Addition. This brings the company’s total funding to $75M. Over the last 12 months since the Series A fundraise, Merge has rapidly grown annual recurring revenue by a factor of twenty six as SaaS companies expand their use of Merge’s Unified API.
Merge provides the tools to transform how B2B companies realize customer-facing integrations. Startups often struggle in building these integrations due to development costs, long-term maintenance needs, and lack of experience working with each API platform. In response, Merge has announced an expansion of its free Unified API for early-stage startups that are building their first integrations. The expanded Free plan allows companies to offer integrations to their first five customers, and then transitions to a flat monthly cost for the next fifteen. This plan will create new opportunities for startups to more quickly achieve product-market fit and to rapidly expand their addressable market.
“Our growth over the past year shows how much of a need there is in the market for Unified APIs that make building product integrations easier,” said Merge co-founder Shensi Ding. “We’re really excited that now, with our Free plan, startups can offer their first integrations no matter what size or scale they are.”
Over 3,000 companies use Merge to add integrations to their SaaS apps. Merge powers integrations for customers such as TripActions, Ramp, Drata, AngelList, Ripplematch, and Apollo. These customers use Merge for a wide variety of integration use cases, from pulling HR data to onboard customer accounts, to programmatically creating new hiring candidate workflows, to posting accounting transactions, and updating tickets that track a project’s progress.
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“As a vital partner to Drata, Merge serves as a crucial layer between our platform, our customers, and their tech stack,” said Daniel Marashlian, Drata Co-Founder and CTO. “Merge’s Unified API integrations for HRIS, ATS, and Ticketing enable us to drive new business and support our customers in achieving and maintaining compliance with full visibility into their overall security posture.”
“We’ve heard for years how difficult it is to build third-party integrations—doing so is difficult, costly, and impossible to maintain. Merge addresses this long-standing friction with ease, affordability, and a genuine understanding of what startups and enterprises need,” says Ben Fletcher, partner, Accel. Fletcher has joined Merge’s board of directors. “It was impressive to hear from developers, product managers, and executives, the simplicity in how Merge solved such a difficult problem.”
In the past year, Merge has rapidly grown its product to support enterprise customers around the world:
- Expanded its Unified APIs, adding Ticketing and CRM to existing support for HRIS, ATS (recruiting), and Accounting.
- Added 100+ integrations, surpassing 150 in total, across each of the 5 Unified APIs.
- Released support for writing and updating data back to API providers, not just reading data, to increase integration use cases that are now possible.
- Secured HIPAA and ISO 27001 certifications, in addition to pre-existing SOC 2 Type 2 certification, as the company expands its enterprise customer base.
- Expanded into Europe, adding support for multi-tenant hosting in the EU in addition to its single-tenant hosting in clouds around the world.
Merge earned recognition as a Forbes Cloud 100 Rising Stars in August and Business Insider Top Up-and-Coming Fintechs in September. The company plans to use the funding to continue to expand the team from 60 today to over 100 next year, investing in both R&D and GTM teams.
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