Levementum LLC, an Arizona based digital consultancy, has grown its Indianapolis office from 10 to 48 employees since locating an outpost here—in temporary space in Broad Ripple—in May 2016.
Company officials said $4 million in venture capital secured in late March will accelerate the company’s growth here and nationally. Its most recent round of funding was led by Inoca Capital Partners, a Chicago-based private equity firm.
In February 2017, Levementum announced expansion plans that include creating as many as 175 jobs in Indiana over the next five years.
“We are way ahead of those plans,” said Levementum Senior Vice President Michael Burton, who leads the Indianapolis office. “When we think about money coming in the door, a lot of that will drive growth in Indianapolis.”
It's a busy time for Levementum. The company is planning to move into a new Indianapolis office and rebrand itself this summer.
Burton said the capital infusion will be used to hire—in Indianapolis—sales and marketing employees as well as digital strategists and other consultants working directly with customers.
Indianapolis is the company’s biggest office. The company has a total of 98 employees, with 25 located at the Arizona headquarters.
“Conservatively, the Indy office will add 30 to 40 people by the end of this year, and we would expect the local office here to double its employee count in 2019,” Burton said.
If all goes according to plan, that would give the company about 175 employees here by the end of 2019.
The company is growing so quickly, it is being forced to look for a new, bigger Indianapolis office. It will be the Levementum’s third move in Indianapolis in just more than two years. Last spring, the company moved into to a 5,000-square-foot office space in The Union 525 building at 525 S. Meridian St. in downtown Indianapolis.
“We are well out of office space,” Burton said. “We are looking to move into a larger, downtown office space and we are close to signing a new lease. We expect that to be done in the next month.”
All that growth has made investors bullish on Levementum, which will not change its name legally but will announce a rebranding in June.
“Levementum is on track for a record year, and this latest investment demonstrates our confidence in the future of the company,” Chris Sheffert, Inoca Capital managing director, said in a statement. “We’re excited about the incredible growth Levementum is experiencing.”
Officials for Levementum, which was founded in 2006, said the firm’s year-over-year revenue grew by 255 percent in 2017. First quarter revenue for this year grew over the first quarter of 2017 by another 202 percent, Burton added.
While Burton said the company does not divulge annual revenue, he said Levementum has strong margins and has been profitable for a number of years.
He said the recent round of capital did alter the composition of the company’s board of directors, but he declined to divulge specifics. He also declined to say what the company’s valuation is.
Levementum, a Salesforce.com Inc. partner, helps companies integrate Salesforce software into their businesses. The Indianapolis practice is specifically for Salesforce Marketing Cloud, a division of San Francisco-based Salesforce born out of its acquisition of ExactTarget in 2013.
Burton, a former ExactTarget and Salesforce executive, joined Levementum in April 2016.
While he said one of the key reasons for locating an office here is to be close to Salesforce, the company also wanted access to Indianapolis’ workforce.
“The type of talent we were looking for, marketing and e-commerce, is very strong in the Indianapolis area,” Burton said.
Recently, Levementum sold the part of its business that focused on another platform, SugarCRM, to focus solely on its Salesforce-related business.
“Sugar got us to this point, and we’re happy about that … but we think we’re now better off being 100 percent focused on being a Salesforce partner,” Burton said. “Salesforce continues to be a fast-growing platform.”