Flip raises $4M to pounce on the growing sector of employee messaging
By now we’re all familiar with text messaging groups for multi-person co-ordination. I’ve lost count of how many WhatsApp, Telegram and Facebook messenger groups I’m on! Other apps like Threema have started to be used in a business context and startups like Staffbase have decided to become full-blown ‘workforce messaging’ platforms. The thinking now amongst investors is that messaging is about to explode in all sorts of verticals and that it’s a rich seam to mine.
In that vein, Flip, a Stuttgart, Germany-based employee messenger app, has now raised €3.6M ($4M) from LEA Partners and Cavalry Ventures, together with Plug and Play Ventures and Business Angels such as Jürgen Hambrecht (Chairman of the Supervisory Board BASF), Prof. Dr. Kurt Lauk (Chairman of the Supervisory Board Magna International), Florian Buzin (Founder Starface) and Andreas Burike (HR Business Angel). The capital raised will be invested primarily in the expansion of the team and the development of further markets.
Founded in 2018, the start-up offers companies a platform that connects and informs employees across all levels in a legally compliant manner.
That last part is important. The application is based on a GDPR-compliant data and employee protection concept, which was validated jointly with experts and works councils of several DAX companies. It also integrates with many existing corporate IT infrastructures.
The startup has now secured customers including Porsche, Bauhaus, Edeka, Junge IG Metall and Wüstenrot & Württembergische. Parts of the Sparkasse and Volksbank are also among the customer base. It also counts Deutsche Telekom as a partner.
Flip founder and CEO, Benedikt Ilg, said in a statement: “Flip is the easiest solution for internal communication in companies of all sizes.”
Bernhard Janke from LEA Partners said: “As a young company, Flip has been able to attract prestigious clients. The lean solution can be integrated into existing IT systems and existing communication processes, even in large organizations. With the financing round, we want to further expand the team and product and thus support the founders in their vision of making digital workforce engagement accessible to all companies.”
Claude Ritter of Cavalry Ventures said: “We are convinced that Flip is setting new standards in this still young market with its safe, lightweight and extremely powerful product”.