IP Commerce Raises $17 Million in Series C Funding

Continued IP Commerce Community Growth and Product Advances Attract Series C Participants

DENVER--(BUSINESS WIRE)--IP Commerce, Inc., a software company delivering on-demand access to the next generation of commerce services, announced today it raised $17 million in Series C funding. The round was led by Venrock, the venture capital firm founded by the Rockefeller family. Total Technology Ventures joined Venrock as a new investor in IP Commerce. The Company’s existing investors, Meritage Funds, Appian Ventures and Iron Gate Capital also participated in the financing.

“Their experiences in the software and financial service industries will help IP Commerce continue to address critical unmet needs in the payments industry.”

The latest round brings the Company’s total funding to date to more than $34 million and will be used to accelerate adoption of the IP Commerce Network, particularly in the software development community and the financial services industry. Proceeds will enable IP Commerce to continue to innovate so partners can reduce friction in enabling payment convergence, acquire new customers and increase revenue.

IP Commerce, launched in 2005, enables payment convergence through free development toolkits that allow for end-to-end commerce solution development. The IP Commerce Platform enables software companies, financial service providers and channels to seamlessly partner to enroll businesses in new, value-added electronic payment solutions.

IP Commerce partners with existing payment service providers and financial institutions to provide them with a technology layer that addresses longstanding payments industry issues, such as providing workflow capabilities to efficiently sell to and activate new customers, including small and medium-sized businesses, in a manner that addresses compliance, security, cost and scale considerations.

With the closing of this financing, Michael C. Brooks, General Partner of Venrock, joined the IP Commerce Board of Directors. Brooks brings to IP Commerce an extensive background of investing in successful enterprise software and financial services companies over his 25 years in the venture capital industry.

“While there is a clear demand within the financial services world to develop innovative technology-based solutions, it is very difficult within the existing structure which is proprietary and closed,” said Brooks. “IP Commerce addresses this need by introducing an open technology platform where ideas can be exchanged and commerce solutions can be built on-demand.”

“We are thrilled with the addition of Venrock and Total Technology Ventures to the IP Commerce team,” said Alfred "Chip" Kahn IV, IP Commerce CEO. “Their experiences in the software and financial service industries will help IP Commerce continue to address critical unmet needs in the payments industry.”

About IP Commerce

IP Commerce offers a single-integration software platform and free development toolkits that allow for end-to-end commerce solution development and broader channel opportunities. The company’s IP Commerce Platform unites software companies and payment service providers – providing bankcard processing, remote deposit capture, ACH, wire, gift, stored value and many other services – with distribution channels in a dynamic new environment, allowing each to deliver a wide range of payment-enabled software solutions to business far more quickly, easily and securely than ever before. IP Commerce opens worlds of commerce. Founded in 2005 and privately held, the company is headquartered in Denver, Colo. For additional information, please visit www.IPCommerce.com.

About Venrock

Venrock is a premier venture capital firm with offices in Menlo Park, New York, Cambridge, MA, and Israel. Originally established as the venture capital arm of the Rockefeller family, Venrock continues a seven-decade tradition of partnering with entrepreneurs to establish successful, enduring companies. Having invested $1.9 billion in 405 companies resulting in over 120 IPOs over the past 39 years, Venrock’s investment returns place it among the top tier venture capital firms that have achieved consistently superior performance. With a primary focus on technology, healthcare, and energy, portfolio companies have included Adnexus Therapeutics, Apple Computer, Centocor, Check Point Software, DoubleClick, Gilead Sciences, Idec Pharmaceuticals, Illumina, Intel, Millennium Pharmaceuticals, Sirna Therapeutics, StrataCom, and Vontu. For more information, please visit Venrock’s website at www.venrock.com.

About Total Technology Ventures

Total Technology Ventures ("TTV") is an Atlanta-based investment firm focused on providing capital to early-to-late stage privately held companies in the financial services industry and IT driven businesses with products that serve the financial services industry. TTV searches for companies that develop technologies with unique business propositions and exceptional growth opportunities. TTV's team approach to investing and management avails portfolio companies access to some of the most prominent and experienced business leaders in the technology and financial services industries. For more information about TTV, please visit www.ttvatlanta.com.