PayIt gains $25M follow-on investment from early backer Weatherford Capital
May 31, 2019 | Tommy Felts
A Tampa-based venture capital firm run by three brothers sees investing in Kansas City’s PayIt as part of its long-term strategy.
Weatherford Capital first backed PayIt in 2016, through a $4.5 million Series A round led by New York-based Advantage Capital Partners, and followed by Weatherford, Royal Street Ventures, the Missouri Technology Corporation and Five Elms Capital.
The firm confirmed to Startland this week a follow-on investment of $25 million for the Kansas City GovTech innovator, which is led by co-founders John Thomson and Michael Plunkett.
Specializing in GovTech applications that better connect government to its constituents, PayIt made news in 2018 thanks to major partnerships with the State of Kansas and the Unified Government of Kansas City, Kansas. Its iKan app notably allows Kansas to skip the line at the Department of Motor Vehicles.
PayIt was named one of Startland’s 10 Kansas City Startups to Watch in 2017 and 2018.
“As investors, we seek out quality teams, leaders, and healthy cultures, not just assets and good ideas,” reads the investment firm’s website. “We believe that through long-term partnerships with purposeful capital and high-quality companies we will produce outcomes that promote human flourishing.”
Driven by Will, Sam, and Drew Weatherford, the firm has a nationwide focus on middle market firms with enterprise value of $50 million or more.
In March, PayIt made headlines with a more than $100 million investment by New York-based Insight Partners, which provided an exit for investors within the KCRise Fund.
Click here to read about the game-changing investment for PayIt and Kansas City.
“The company [PayIt] happens to be in Kansas City — Investors expect a return. They’re looking for big, scalable, durable businesses,” PayIt’s Thomson said at Startland’s May Innovation Exchange event. “You’ll hear the phrase ‘escape velocity’ — those that can turn into the next Fortune 500 company in a market or a category. It’s all about the execution of the business, the growth trajectory and how investable is that team and business.”
Meeting with more than 85 firms in its most recent funding push, however, PayIt saw rising interest not only in its GovTech offering, but in its hometown backing, he acknowledged.
“There’s a broad awareness of Kansas City, this ecosystem and this environment — and that it’s been on the rise,” Thomson said.
Featured Business
2019 Startups to Watch
stats here
Related Posts on Startland News
‘Hustle’ and a heart: Beth Engel on the ethos of Dundee Venture Capital’s new fund
In a red, grid-lined journal, Beth Engel outlines a note in large block letters. With each stroke of her pen, “HUSTLE” grows bolder. As though to protect the musing, the venture capitalist of three years adds a box around the reminder before once again tracing over the word. Engel continues to sketch as she eloquently…
Timely funding opportunities for Kansas City startups
Despite Kansas City’s recognition as a tech hub, its variety of incubator programs and array of successful startup ventures, the metro’s entrepreneurial ecosystem is still trying to fill the money gap. How can the community ensure that entrepreneurs have access the capital they need? Well, as KCSourceLink knows well, appropriate funding resources vary widely depending…
Mobility Designed tackles a demand unaddressed since the Civil War
Editor’s note: This content is sponsored by LaunchKC but independently produced by Startland News. Some technologies are slow to innovate. And crutches — which haven’t changed much since the U.S. Civil War — are a prime example. “They’ve pretty much been the same for decades,” said Liliana Younger, CEO of Mobility Designed. “Although there…
Two area startups still vying for $25K from the Kauffman Foundation
The Ewing Marion Kauffman Foundation on Monday announced the top 15 finalists in the 1 in a Million pitch competition that are vying for a $25,000 grant — and two startups hail from the metro area. Kansas City-based The Grooming Project and Lawrence-based DraftPak both cracked the top 15 in the contest after beating out…