Sirqul, $300k in MRR, Raised $9M on $21M Valuation

In 2018, IoT is undoubtedly a hot space. More and more companies are looking for ways to use connected devices to increase efficiency and better understand their customers and operations.

With Sirqul, companies in virtually any vertical can drive engagement, operational efficiency, rapid innovation, and new revenue streams of growth. Their disruptive, market ready software and hardware solutions are helping casinos, grocery stores, retailers, and other businesses take advantage of valuable customer data and deploy innovative solutions.

How much is Sirqul doing in MRR?

Sirqul is a SaaS business that charges for both software and hardware products. According to CEO Robert Frederick, approximately 70% of the company’s revenue comes from software today, with the remaining 30% being attributed to hardware.

On average, customers are paying them north of $20k monthly right now. Pricing is typically based on server usage, with Sirqul providing both a cloud and on-premises service.

With 15 major paying customers, Sirqul is currently north of $300k in MRR at this point in time. The company is growing 25-30% year over year, according to Frederick, and is looking to land larger enterprise deals going forward.

What is Sirqul’s churn?

Each year, Sirqul has been losing 2 or 3 customers, Frederick explained. Overall, the company is at net zero logo churn annually.

Customer acquisition varies depending on which services are being sold: hardware or software. On average, Sirqul aims for payback within 3 to 4 months and is hitting that mark with a CAC between $60k and $80k.

How much has Sirqul raised?

Sirqul began raising capital at its formation in 2013 and has raised $9M in total funding to date. The $9M was raised at a $21M pre-money valuation, according to Frederick.

Going forward, Sirqul’s team of 20 full-time employees in Seattle is focused on hitting profitability by the end of 2018 and landing more large-scale enterprise contracts.