Payment infrastructure company for SaaS (Software as a Service) firms, Paddle, has completed a $200 million acquisition of ProfitWell.
ProfitWell, a subscription metrics and retention software provider, is brought in under Paddle’s clientele to help remove barriers and to grow SaaS companies across the globe.
Subscription-based companies will be enabled to plug into Paddle to have their taxes, payments, billings, etc, automatically processed through the help of integrating ProfitWell’s financial metrics.
The aim for both businesses is a ‘do it for you’ approach, allowing partnering companies to focus on their product and customers by using Paddle and ProfitWell’s tools for improved maintenance.
Christian Owens, CEO and Co-Founder of Paddle, said: “Paddle and ProfitWell share a common goal: maximising our software customers’ revenue by taking care of the operational and financial obstacles that cost unnecessary time and manpower.
“ProfitWell will add considerable value to our offering. We couldn’t be more excited to have the team on board helping us achieve our mission of running and growing SaaS business automatically.”
The acquisition will be funded by Paddle’s recent Series D fundraising round, allowing ProfitWell to continue to operate as originally constructed. Employees of ProfitWell based in Boston, Salt Lake City and Rosario, will retain their current jobs and work under the infrastructure of Paddle.
Providing financial and payment compliance processors to clients such as Verizon, MacPaw and Framer, Paddle is building upon a successful 2021, where the company doubled its revenue growth and scaled its team from 140 to 275.
“Paddle shares our mission to help thousands of software businesses avoid the operational hurdles that stand in the way of growth by taking these problems on completely ourselves,” added Patrick Campbell, CEO and Founder of ProfitWell.
“Those shared objectives, meant adding our subscription metrics and retention tools to the offering just made perfect sense. We’re delighted to have the opportunity to bring our teams together to build a truly holistic, powerful payments infrastructure at the heart of the SaaS market.”