Toronto-based password management software company, 1Password, announced that it raised $200 million USD (approximately $265 million CAD) in venture capital.
The investment comes from Silicon Valley venture capital giant, Accel. The company invests in startups and larger companies and has funded a number of tech companies including Facebook, Slack and Spotify.
This is the first time that the startup has taken an outside investment in its 14-year history. It is entering the rapidly growing enterprise industry as it shifts from consumer markets.
1Password offers a password-management service that generates and stores unique passwords for users to easily log into several accounts. Although the service started as a service for individuals and families, the company has been able to grow by offering its service to businesses.
The company told the Financial Post that it has millions of users and that more than 50,000 companies use its service.
1Password says this investment will allow it to sell its service to larger enterprise customers, as it believes that passwords are still a weak factor for a lot of companies.
Source: Financial Post