Agosto Inc., a cloud services and development company, has secured USD6.5 million to surge its headcount and fund business improvements.
Minneapolis-based Agosto assists public- and private-sector businesses to utilize Google Cloud products. It also owns Skykit, which is a cloud-based digital content management system that started in 2016.
Agosto President Aric Bandy said, “The latest capital, which is a mix of credit and convertible note, came from San Jose, Calif.-based Bridge Bank and Stamford, Conn.-based SG Capital Partners. The company has thus far avoided equity investments.”
He further said, “We don’t want to give up equity at this stage of our rapid growth.” And added, “[The capital] gives us the ability to achieve the growth numbers and then look at some equity play down the road.”
Founded in 2001, Agosto has tripled its employee base since 2016. It has 59 employees at its Minneapolis headquarters and offices in Chicago, Toronto, Houston, Nashville, San Francisco, and Los Angeles.
The company has also nearly increased its revenue three times since 2016.
Mike Majerus, Vice President of Finance for Agosto, declined to disclose the company’s revenue numbers but said it has seen 30 to 40 % year-over-year revenue growth since 2016.
According to Business Journal research, the company testified nearly $16 million in revenue.
Agosto began as an IT consultancy before transitioning into the Google Cloud space. Its clients include the state of Wyoming, Groupon, Jaguar Land Rover, and the Library of Congress.