Wheelings & Dealings: CoreDial Receives $27.5 Million Investment to Improve Cloud Platform for MSPs and Channel Partners
May 19, 2015
SaaS (News - Alert) platform provider CoreDial has received a $27.5 million investment supporting technology development and innovation. The funding, from private equity firm LLR Partners, is meant to help the company better deliver its cloud offerings to MSPs, IT solution providers and VARs through its SaaS platform and accompanying business model.
CoreDial has been focused on building out its business over the past few years, adding close to half of its 350 channel partners just within the last year. The company will use the funds to build out its position as a SaaS provider to the channel as well as expand its portfolio of UCaaS offerings. The company also plans to add new cloud offerings that have been optimized for it service provider channel. CoreDial’s solutions are provided as white label offerings and enable channel partners to generate up to 65 percent profit margins.
"There is a growing need today for SaaS platforms and cloud services designed specifically for the over 170,000 MSPs, IT Solution Providers, and VARs that make up the channel," said David Reuter, partner, LLR Partners. "CoreDial has become the high-growth company it is today by delivering a unique UCaaS solution to the channel. We're excited to work with the management team to help accelerate this momentum by expanding CoreDial's cloud service offerings and executing on the team's vision for continued success.”
A benefit of the new investment is that both CoreDial and LLR are headquartered in Philadelphia. CoreDial plans to grow its local workforce by more than 50 percent this year with the help of the new funds, as well as build out its position as a local technology hub promoting entrepreneurship and innovation.
"This investment is a clear vote of confidence in CoreDial's high growth, margin-rich, channel-optimized SaaS platform and solutions from the technology investment community," said Alan Rihm, CEO and co-founder of CoreDial. "We are excited to partner with LLR in accelerating our growth and innovation on behalf of our channel partners, and to help highlight the success of the Philadelphia tech scene."
Last year, the company focused on enhancing its cloud communications platform and rolled out the SwitchConnex 5.0 offering. The upgraded release includes an improved UI and user experience (UX) as well as a theme builder to enable channel partners to more easily customize the offering. An improved user dashboard is designed to make the product more friendly to users of all experience levels, while a new chat system lets employees communicate easily throughout the enterprise.
Edited by Dominick Sorrentino