KC boutique big data startup Yotabites planned its big exit for 2025 — a buyer came five years early
November 9, 2019 | Elyssa Bezner
Starting with a laser-focus on attacking big data’s fundamental problems, Lenexa-based Yotabites is announcing its acquisition from Oregon-based ProKarma, said Rajesh Nair, noting the sale fell many years ahead of schedule for the forward-thinking startup.
“It really started out as a combination of things for us: from [seeing a lack of] creativity in the big data in corporations, to this feeling of being undervalued, to this nagging question of, ‘Why can’t anyone get big data right?’” said Nair, CEO and cofounder of the big data consulting firm along with CTO Mani Raman.
Click here to learn more about Yotabites.
“We did exit planning very early on and our goal was for 2025. We wanted a company in the big data space but a much larger player with a similar customer base … [With ProKarma,] I think [they were] surprised at the abilities we were able to present in the big data space and I believe we had a common customer,” Nair added.
The larger engineering experience firm no longer has to point customers in different directions to fulfill those big data needs, he said, noting the sale amount remains undisclosed.
Click here to learn more about ProKarma.
“I think for them it was a [part of their] portfolio that they didn’t have and it would’ve taken much longer for them to build this out organically,” Nair said. “We took on the philosophy of ‘do one thing and do it right,’ and I think we were able to make a really strong customer base. I think that’s kind of what brought us to the notice of these other companies.”
The Yotabites team is expected to stay on with the company to work within ProKarma’s folds, added Raman, making the situation a mutually beneficial relationship where the larger company can also offer its structured back-end processes and the help of their other professional services.
“It’s really a win-win for both of us,” he said. “They were looking for someone to get through the big data services and we were looking for someone who can help us scale and grow much faster. It’s a perfect marriage.”
“Obviously we are feeling super happy and excited,” he added, laughing.
ProKarma has acquired several companies in recent years as well, Raman said, which initially excited the team about the prospective relationship.
“This is not new to them and that was a really good thing for us — especially [because] we reached that scaling problem,” he said. “They know the pains, they know the gaps, they know, ‘Oh, it can be done.’”
The team is anticipating filling those gaps for existing and new clients for their team as well as ProKarma throughout 2020 and beyond, he added.
“So it’s going to be a very fun and very busy few years — not just 2020! But the next few years,” Raman said.
2019 Startups to Watch
stats here
Related Posts on Startland News
Innovation Exchange returns in 2018 with new partners, topics
One of my favorite parts of journalism is the “Hm!” moment. They are the occasions when reading, watching or listening to a story whose details yield an inborn reaction of fascination or intrigue. They can’t be stopped. When your curiosity piqued, “Hmm!” is an impulse. “The SpaceX Falcon Heavy rocket produced 5 million pounds of…
Sickweather storms market with overfunded $1M crowdfunding campaign amid flu season
An illness forecaster is never more valuable than when the threat of a widespread virus is high. This year’s severe flu season, however, is only one of the leading contributors to Sickweather’s uptick in interest — and its recent oversubscribed $1 million crowdfunding campaign, said founder Graham Dodge. “We learn a lot every cold and…
Fund Me, KC: Operation Breakthrough hopes to burn into STEM gap with laser cutter
Editor’s note: Startland News is continuing its ‘Fund Me, KC’ feature to highlight area entrepreneurial efforts to accelerate businesses or projects. If you or your startup is running a crowdfunding campaign, let us know by contacting news@startlandnews.com. Today’s featured campaign from Operation Breakthrough spotlights a campaign by the nonprofit childhood development center to boost its…
designWerx makes room for growing makers in North Kansas City
A home garage workspace can be a lonely, stifling place for a maker trying to grow his or her business, said Pam Newton, who is leading the artistic vision for designWerx, a new coworking space and incubator specifically for makers in North Kansas City. “You’re alone constantly. Sometimes it’s hard to get motivated,” she said.…