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
KC-based Water.org fills need with focus on poverty as a market to be served
When philanthropy is used to correct a market failure, there is potential for profit, said Gary White, co-founder and CEO of Water.org. “The poor should not necessarily be seen as a problem to be solved but a market to be served,” White told a recent crowd at the University of Missouri, highlighting the importance of…
Voting with cash: Meet the 8 Kansas City tech startups competing in the Pure Pitch Rally
The landsharks are circling and eight hungry tech founders are ready to sell their ideas at the fourth annual, invite-only Pure Pitch Rally, the early-stage funding platform announced Wednesday. “In Kansas City, we have the business soul and hunger to help others — through both community crowdsourced giving and offering others a stepping stone to…
Tea-Biotics opens ‘world’s-largest kombucha taproom’ with 32 flavors, Royals flare
The strength of Tea-Biotics’ new, world’s-largest kombucha taproom lies in its bold flavors — and a lot of them, said Lisa Bledsoe. “How good is fresh-pressed, organic blueberry? It’s great for you! It’s full of antioxidants,” said Bledsoe, founder of Tea-Biotics Kombucha, referencing just one of 32 variations on tap at the Olathe taproom. “How…
Global, KC investors charge Grandview-based battery innovator with 8-figure funding round
A Grandview-based leader in battery technology is building a charge for expansion as Spear Power Systems announced this week an eight-figure funding round with world-spanning reach and headline-grabbing international investors. “We are pleased with the quality and synergy of the syndicate,” said Jeff Kostos, president and CEO of Spear. “This investment enables Spear to scale…