Bainbridge Growth, a Boston-based software startup that provides data, analytics and financial modeling to e-commerce businesses, has secured $4 million in seed funding.
Ben Tregoe and Austin Gardner-Smith started the company in January 2021 after meeting at Nanigans, an ad automation software company.
Tregoe, CEO, told TechCrunch that by helping brands like Casper, Peloton and Warby Parker figure out how to advertise more effectively on Facebook, they realized they were building big data systems and modeling revenue per customer. It got them thinking about what else they could do with the data.
“We started talking to many founders and kept hearing the same thing – everyone was struggling with financial planning, forecasting and trying to figure out what the true lifetime value of customers was,” he said. -he adds.
Bainbridge started with a financial model and added analytics to help the financial model make better assumptions, then a data system. The company collects data from places like Shopify, QuickBooks, and Google Analytics and gives each client their own data warehouse backed by managed data pipelines.
The company has also created a dashboard that allows customers such as Geologie, Branch Furniture and Mad Rabbit to track progress, display planned value and then actual value in real time.
Bainbridge targets customers who sell between $5 million and $100 million annually. And as U.S. e-commerce sales continue to grow toward $1 trillion by 2023, knowing where a brand stands will be even more important, Tregoe said.
“We help companies see their gross margins, contribution margins, and variable costs,” he said. “Now they can see why their fulfillment costs were so out of line. For one customer, we found they were being overcharged by their shipping partner. This fix brought them $350,000 in one quarter.
The new investment closed on August 31 and was led by Las Olas and Vinyl VC with participation from Bling Capital and Industry Ventures. The company has now raised $6.4 million in total, including an unannounced pre-seed round in March 2021 led by Bling Capital and Industry Ventures.
“The customer referral calls were the best I’ve ever heard and that’s why I wrote my biggest check yet,” TJ Mahony, founder and partner of Vinyl VC, said in a statement.
Tregoe says the company has six employees and intends to use the new funding to add to that in the areas of engineering, sales and marketing, and customer success.
And although Bainbridge is still in its infancy, he said the company has 18 customers and is “on track to hit $1 million in annual recurring revenue, or 10x year-over-year.” .