Sprinto Secures $20M to Revolutionize Security Compliance Management
Sprinto, a security compliance and risk platform, has recently raised $20 million in a Series B funding round. The company aims to use the funds to further automate its compliance management platform and expand its customer base to include companies that operate digitally but are not tech-first. Compliance with frameworks such as SOC 2, GDPR, and HIPAA has become crucial for companies across sectors to ensure data security and privacy. However, compliance management remains a cumbersome process for most businesses, requiring teams to maintain records frequently and regularly monitor data flows.
Automating Security Compliance Management
Sprinto is working to automate the process of security compliance management by incorporating vendor risk management, vulnerability assessment, access control, evidence collection, and other filing tasks into its platform. The company’s platform integrates directly with its customers’ HR, IT, and engineering systems through over 160 integrations. It also offers support for popular compliance frameworks such as SOC 2, ISO 27001, GDPR, CCPA, HIPAA, PCI-DSS, and CIS. Sprinto utilizes a combination of AI, GPTs, and its own internal large language model to provide efficiencies in compliance management. With its focus on bolstering research and development efforts, Sprinto aims to bring intelligence to the platform.
Aiming to Build Trust and Grow Businesses
Sprinto’s co-founder, Girish Redekar, expressed the company’s goal of helping companies build trust and grow their business by utilizing the trust they have built. The recent Series B funding round led by Accel, which raised the company’s total capital to $31.8 million, highlights investors’ confidence in Sprinto’s vision. Existing investors Elevation Capital and Blume Ventures also participated in the funding round. While there are already players in the market for automated compliance management solutions like Vanta and Drata, Sprinto differentiates itself by focusing on automating the entire compliance management process and helping businesses build trust.
Founders’ Expertise in Compliance
Redekar, who co-founded Sprinto with Raghuveer Kancherla after their startup Recruiterbox was acquired in 2018, understood firsthand the difficulties and burdens of compliance. This motivated them to address this problem with their new startup. Currently, Sprinto employs approximately 200 people and serves over 1,000 customers across 75 countries. However, the majority of its client base is in the U.S. and Europe. The company plans to expand its presence in these markets by targeting traditional businesses that have adopted technology but are not inherently tech companies.
Future Growth and Development
Although Redekar did not disclose Sprinto’s valuation, Ravi Adusumalli, co-managing partner at Elevation Capital, revealed that the company has grown more than 20 times since its Series A funding round in 2021. Redekar also mentioned that the company’s Annual Recurring Revenue (ARR) has tripled from 2022 to 2023 and is projected to double in the coming year. With this fresh funding, Sprinto plans to invest in product research and development while catering to new businesses. The company aims to scale its current intelligent automation by four times within the next 12 months.
Partnership with Accel
Accel, the leading investor in Sprinto’s Series B funding round, recognizes the company’s significant contributions to helping businesses focus on their core operations by making compliance low-touch, automated, and efficient. Shekhar Kirani, partner at Accel, expressed excitement about partnering with Girish, Raghuveer, and the team at Sprinto to ensure that compliance becomes a driver of growth for businesses.
In conclusion, Sprinto’s recent funding round and its focus on automating security compliance management showcase its commitment to revolutionizing the way companies manage compliance. By offering a platform that automates various compliance tasks and integrates with existing systems, Sprinto aims to make compliance more efficient and low-touch for businesses. With its plans for expansion and investment in research and development, Sprinto is poised to become a significant player in the automated compliance management market, helping businesses build trust and grow their operations.