A year ago, Mangrove Capital Partners invested $1.75 million in SohoOS and its small-business management service. Today the company is announcing that Morgenthaler Ventures is leading a second round of financing to the tune of $8 million (it’s also the firm’s first investment in an Israeli-based startup). Existing investors Mangrove Capital Partners, Kima Ventures and The Time are all participating in the round as well.
Joining Mangrove’s Michael Jackson on the company’s board will be Morgenthaler Ventures’ Mark Goines, whose previous experience of running TurboTax, GM’ing Inuit’s consumer division, as well as backing the likes of of Mint.com as an angel investor, should come in handy for SohoOS as it begins to double down on user acquisition.
Bringing total investment to date to $10.5 million, SohoOS co-founder & CMO Dr. Orit Mossinson tells me that the new capital will be used to expand the R&D and Product teams, as well as to grow the userbase, particularly in the United States. For your reference, 600,000 users have now signed up for the service, following the launch of SohoOS’ overhauled interface in November 2011.
Coinciding with the new financing round, SohoOS has announced the relocation of the company’s HQ from Israel to an office near San Francisco’s financial district, with senior management (including CEO Ron Daniel) making the move.