Fintech company, Spiff, Manages to Raise $10 Million in Funding

In a move aimed at modernising the sales compensation management industry, Norwest Venture Partners has partnered with Utah-based fintech startup, Spiff. This partnership, announced recently, seeks to provide a more efficient and transparent solution for sales teams struggling with manual commission calculations.

Founded in 2017, Spiff specialises in sales commission software, offering a comprehensive set of capabilities that seamlessly integrate with ERPs, payments, and payroll. The company's software uses open APIs for fast implementation, making it an attractive option for businesses looking to streamline their commission processes.

Norwest Venture Partners, an early-stage investment firm, has expressed its confidence in Spiff's approach to sales compensation management. Sean Jacobsohn, a partner at Norwest, has highlighted the need for a more advanced solution in the industry, stating that approximately 85% of companies are still calculating sales commissions manually using Google Sheets or Excel.

Jacobsohn's statement suggests that Spiff's approach could offer a significant improvement over current methods. He is excited about partnering with Spiff to revolutionise sales compensation management, aiming to address the manual calculation of sales commissions, a major cause of anxiety for teams who don't understand or trust their incentive plan and often waste hours every month correcting mistakes or arguing with finance.

The partnership between Norwest Venture Partners and Spiff is not the first investment in the fintech company. In 2018, Spiff received investments from Norwest, Next World Ventures, and Epic Ventures. Other investors include Kickstart Album Ventures, Pipeline Capital, and Peterson Ventures.

According to Spiff's CEO, Jeron Paul, the partnership with Norwest Venture Partners is not just about automating commission calculations, but also about providing sales teams with a deeper level of visibility into their commissions. This partnership is expected to help transform the way sales compensation is perceived, moving it off the radar and into the spotlight.

While the topic of Spiff's software is somewhat off the radar for Mercator Advisory Group, they have recently released member research in the earned wage access space, which is the closest related space they have come across. Spiff's competitors, however, are not familiar names in the current context, making this partnership even more significant.

In conclusion, Norwest Venture Partners' investment in Spiff marks a step towards automating commission calculations during challenging times, reducing anxiety and wasted time for sales teams. The partnership between these two entities aims to modernise the sales compensation management industry, offering a more efficient and transparent solution for businesses.