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
Quick studies: These Kansans just left their college careers for $500K (and a crash course in startups)
When a friend encouraged Aditya Joshi and Varun Verma to apply for the Y Combinator accelerator program, the Wichita natives didn’t expect to land an interview, they shared — much less get accepted. “Truly, all we had was this idea and a couple of months under our belt of just talking to different folks,” Joshi…
Siblings spin family pet into family business, capitalizing on alpaca’s plush potential
One Wyandotte County family’s trip to a local fair inspired their interest in alpacas, but it wasn’t until they brought one of the animals home as a pet that they realized the business opportunities they’d unleashed. “That’s where the idea started of — ‘Hey, we can actually make this an Alpaca clothing company and reduce…
Black Drip releases canned cold brew as KC coffee maker leans into creative blends
A new cold brew version from Charon Thompson’s popular Kansas City coffee brand drips with strength, the co-founder said, teasing its arrival on the market just as the metro begins to heat up for the spring. “I can’t sell hot coffee when it’s like 92 degrees,” said Thompson, recalling an experience during a Black Drip…
GOP lawmaker from Missouri takes over chair of Small Business Caucus in DC
Entrepreneurship and small businesses are the lifeblood of America, said Mark Alford, pledging to use his new leadership role within the Small Business Caucus to help fellow congressmen workshop and pursue policies that will “ensure the safety and prosperity of Main Street America.” U.S. Rep. Alford, R-Missouri, publicly took over the co-chair role of the…