Techstars Cloud Graduate Ilos Videos Snags $1.5M Led By Austin VC
San Antonio—Ilos Videos, a St. Paul, MN-based startup that went through the final Techstars Cloud program in San Antonio in February 2016, has raised a $1.5 million seed round of funding led by Active Capital, an Austin-based firm operated by three former Rackspace employees.
Founded in 2015, ilos develops software that helps people make videos for work. The company’s app lets corporate users record, edit, host on the cloud, and track a video, among other options. Its pricing starts at $250 per month.
Since it participated in Techstars, ilos has increased its monthly recurring revenue to $100,000 from $20,000. Ilos plans to use the new venture funding to add to its market share, the company said in a news release. It currently has 15 employees and more than 200 customers, including the University of California, Berkeley; UnitedHealthcare; General Electric (NYSE: GE); and 3M (NYSE: MMM).
Active Capital was founded by Pat Matthews, the firm’s managing director who is a longtime tech entrepreneur and investor. He co-founded Webmail.us, which Rackspace acquired in 2007, and was most recently the CEO of San Antonio-based Filestack. At Rackspace, Matthews met Cat Dizon, an Active partner and chief operating officer, and Pat Condon, a co-founder of Rackspace and Active partner and board member.
The group designed Active to lead seed rounds in software-as-a-service companies, according to the firm’s website. The investors, prior to starting Active, had made numerous investments in software companies in Texas and across the country.
In 2012, Boulder, CO-based Techstars opened Techstars Cloud in San Antonio, where it had agreed to operate the program for four years. The company decided to close the program, focused on cloud computing startups, in late 2016.
Ingram Content Group of La Vergne, TN and Chicago-based Hyde Park Venture Partners also participated in the seed round. Ilos has raised $3 million total, according to a news release.