Popular password manager 1Password has closed a $200 million Series A round, which the company says is the first outside investment following 14 years of growth and profitability.
As a completely bootstrapped company founded in 2005, 1Password has gained millions of users worldwide and is used by 50,000+ paying business customers, including IBM, Slack, Pagerduty, Dropbox, GitLab and Roche.
With 1Password, users can create unique, strong passwords and auto-fill logins for both websites and applications, with a single click. Thus, they can keep their accounts secure without remembering, or even knowing their credentials.
Furthermore, users can leverage secure vaults to share files and sensitive data, while IT teams can take advantage of reporting and management tools to gain visibility into breaches and compromised accounts.
The new funding, the company says, will help it scale its Enterprise Password Manager (EPM) globally through aggressive investment in product and go-to-market programs.
Over the past two years, 1Password’s enterprise business has registered a 300% growth, now comprising a majority of the company’s revenue.
1Password plans on using the funding round to expand the EPM to help prevent breaches, diminish time spent on guessing or resetting passwords, and reducing IT demands by understanding the online services employees use.
“We’ve built a passionate customer base by respecting privacy, listening to feedback and making a security product that people love to use. That’s created a virtuous cycle where customer feedback keeps us ahead of the game by highlighting the latest services users want, from Face ID to Slack integrations to the next big platform,” Dave Teare, 1Password co-founder, said.
The funding round was led by Accel and saw participation from Slack Fund, Atlassian co-founders Mike Cannon-Brookes & Scott Farquhar, Atlassian president Jay Simons, and several other notable investors.
The company also announced that Arun Mathew from Accel will join 1Password’s Board of Directors.