Aplos software has raised $4 million in a Series A round of funding from San Joaquin Capital. The newly formed venture capital firm specializes in technology companies based in California’s Central Valley. The funding will allow Fresno, Calif.-based Aplos to accelerate and expand product development efforts.
Co-founder and CEO Tim Goetz teamed with two other Fresno natives to form San Joaquin Capital and attract investment dollars from business leaders in the Central Valley. Aplos is the sole recipient of the firm’s first fund, the Whitney Fund, valued at $4 million, which was committed within three months. The SaaS accounting software company for nonprofits previously raised $3.4 million from an angel investor, bringing total funding to $7.4 million.
Aplos raised $2 million in financing from private investors in 2014. The financing accelerated the development schedule for new features in its existing nonprofit accounting and donor management software, including release of an API to integrate with other popular, web-based software used by churches and nonprofits.
Founded in 2009, Aplos launched a cloud-based accounting product in 2011. It has expanded offerings in recent years, including preparing IRS returns in 2012, donation processing in 2014 and simple donor management in 2015. Last year, it surpassed 20,000 organizations. Clients include Kiwanis International and Assemblies of God.
Aplos is forecasting tripling in size this year and reports client retention rates that are three times the industry norm, according to today’s announcement.
“Aplos has such a clear trajectory that it made perfect sense to our investors,” said Randel Mathias, a managing partner of San Joaquin Capital. “We couldn’t ask for a better example of an emerging tech company that will create jobs and spur economic impact in the Valley,” he said. “By supporting local and successful companies like Aplos, we can retain the region’s incredible talent and dramatically enhance our economy.”