March 4, 2013

Charleston Software Firm Nets $19 Million Investment

Brendan Kearney  /  Post and Courier

PeopleMatter has accepted another $19 million in venture capital to grow the Charleston company's human resources software platform. California-based Scale Venture Partners is leading the latest round, with PeopleMatter's investors from prior rounds of funding also participating.

The deal, which brings the company's total funding to $47 million, was first reported Monday night by technology news website TechCrunch.PeopleMatter spokeswoman Joy Capps confirmed the facts of the website's story but declined to say more pursuant to the terms of an exclusive-release agreement with TechCrunch.

She said PeopleMatter CEO Nate DaPore was not available to discuss the investment. According to the TechCrunch story, DaPore said the latest cash injection could also be used to make "strategic acquisitions."

While some local tech companies pride themselves on self-funded growth and fear ceding control to investors, PeopleMatter has distinguished itself by seeking outside capital as part of its strategy to more quickly claim market share.

Then known as Acadia Human Capital Solutions, the company got its first round of venture money in September 2009 when InterSouth Partners of Durham, N.C., along with C&B Capital of Atlanta put in $5 million. It got another $2.3 million from Harbert Venture Partners, which has offices in the Southeast and around the world, in February 2010.

In May 2011, Atlanta-based Noro-Moseley led a $7.2 million round, which included prior investors. And a year ago, Menlo Park, Calif.-based Morgenthaler Ventures led a $14 million round.

The announcement is just the latest news from the local company, whose software helps streamline the hiring, training and scheduling of hourly employees at hotels, restaurants and convenience stores. Last week, PeopleMatter moved into its new headquarters building at 466 King St.

As part of a government incentives package that accompanied its 2011 decision to move downtown from North Charleston, PeopleMatter pledged to grow its headcount by 265 people over the next few years. The company also has offices in Atlanta and San Francisco.