Deal Closed — Pipedrive Raises Further $2.4M For Its CRM SaaS

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Pipedrive, the SaaS to help small to medium size companies manage and increase sales, has closed another deal of its own. The Estonia/U.S.-based startup and AngelPad alumni has raised a further $2.4 million in funding, bringing the total raised by the company to $3.4 million.

The new investment, described as an “extended seed round”, was co-led by Rembrandt Venture Partners, and Storm Ventures, with participation from existing backer TMT Investments, and a group of angel investors including Taavet Hinrikus (co-founder of Transferwise), Ott Kaukver (VP Engineering of Twilio), Rain Rannu (co-founder of Fortumo), and Tytus Michalski (Managing Director of Fresco Capital Advisors).

Like other upstarts in the space, such as Ireland’s OnePageCRM, or ex-TAT founded Dexplora, Pipedrive believes that the experience of existing CRM software is broken — something it’s out to fix. Specifically, it says that CRM solutions require far too much data entry and have poorly defined workflows, resulting in software that nobody likes using and, ultimately, lost sales.

Pipedrive says it will use the new funding to continue its mission to create a better CRM experience, which in the near-term will include staffing up in both its Tallinn and Palo Alto offices — the former for the product development team, and the latter in marketing/business development.

Since our last coverage in July 2012, the company has grown from 15 to 21 employees and currently has 7 open positions. As part of its U.S. push, I’m told that CEO and co-founder Timo Rein has relocated to the States along with his family.

As for traction, Pipedrive says the number of paid users has tripled in the last 12 months, which now amounts to thousands of paying users in over 100 countries, with the U.S., Brazil, UK, Canada and Australia representing its biggest markets.