In the B2B world, your products are only as good as the materials you use to make them. Ensuring your procurement channels are optimized and efficient is essential for cutting costs, improving quality, and maximizing bottom line.
OMX was created as a software platform that connects businesses in regulated industries in order to help them procure better, faster, and smarter. Their network is connecting buyers and sellers in the energy, aerospace defense, mining, and infrastructure industries and creating the world’s most powerful procurement platform.
How much is OMX doing in MRR?
OMX is a pure-play SaaS company that generates revenue from both monthly subscriptions and fees associated with their marketplace. They position themselves as both a CRM and supply chain purchasing platform for B2B enterprises.
On the buy-side, enterprises currently generate north of $2,600 in monthly revenue, while the sell-side companies pay them approximately $150 per month. CEO Nicole Verkindt mentioned that 90% of the business’ revenue comes from buy-side customers today.
According to Verkindt, OMX currently serves 40 buy-side enterprises and is well north of $100k in MRR. The company has been growing revenue 40% year over year and is aiming to cross $5M in ARR by the end of 2019.
How much has OMX raised?
OMX just closed a small $1M seed round from friends and family after essentially bootstrapping since their launch in 2012. Verkindt noted that the company had taken on some small government loans, but has paid them back in their entirety.
Customer acquisition in the B2B space is often one of patience and OMX has experienced this thus far. The company anticipates a sales cycle of approximately 2 years for new enterprises and tasks their inside sales reps with landing 7 new deals annually.
Going forward, OMX is focused on growing the business through increasing usage and stickiness within their existing cohorts. Verkindt explained that they are not looking to raise additional capital or sell the business at this point in time and are gearing up to hit their $5M in ARR goal as fast as possible.
