Cybersecurity Firm Mailprotector Raises $5 Million; Doubles Down on MSP Partners
Email security specialist Mailprotector has raised $5 million in Series A funding from Ballast Point Ventures. The channel- and MSP-centric cybersecurity company will leverage the funding for product development, sales and marketing, and employee recruitment.
The growth plan calls for 30 new positions to be hired across all departments in Mailprotector’s Greenville, South Carolina-based headquarters and additional U.S. locations.
Mailprotector’s roots stretch back to 1999-2000. The company’s platform has grown to include:
- CloudFilder for spam and malware blocking;
- SafeSend to protect outbound email traffic and mitigate data loss prevention (DLP);
- XtraMail for email continuity services;
- SecureStore for email archiving;
- Bracket for encrypted email;
- CloudMail for secure hosted email; and
- Exchange+ for secure Microsoft Exchange Services.
Mailprotector received mezzanine funding from Lighter Capital back in 2017. That funding was “debt-based” and did not involve equity.
Mailprotector: Channel Strategy
In recent years, Mailprotector CEO David Setzer has focused heavily on channel-centric growth. The journey included hiring GetChanneled, a consulting firm led by IT channel veterans Ted Roller and Brian Sherman.
Roller essentially became virtual channel chief for Mailprotector in recent years. But it wasn’t a one-man show. Setzer also dove head-first into the the channel — meeting partners and immersing himself in the nuances of successful channel engagements.
Among the results: Mailprotector’s software integrates tightly with such MSP management platforms as ConnectWise, Datto Autotask and SaaS offerings like Microsoft Office 365, Roller says. More integrations are on the way, Setzer adds.
Moreover, Mailprotector pursued profitable growth and managed its costs efficiently — avoiding a “grow at all costs” mentality that has sidetracked some tech startups in recent years, the company says.
Mailprotector’s quiet growth and funding is particularly impressive, considering multiple MSP-focused platform giants — particularly Barracuda MSP and Sophos, backed by private equity firm Thoma Bravo — offer various email security services.
Mailprotector: Funding Discussions
Multiple venture capital firms and investment firms pursued financial relationships with Mailprotector. But some of the firms lacked channel-knowledge.
In stark contrast, Ballast Point Ventures of Tampa, Florida, completely understood and valued Mailprotector’s channel strategy, Setzer says.
In a prepared statement, Ballast Point Ventures Partner Robert Faber said:
“We are excited to partner with David, CTO Ben Hathaway, and the entire Mailprotector team to drive continued email security leadership and technology innovation. BPV has a long history of supporting high-growth software companies throughout the Southeast, and we have been impressed with David and his team as they have built industry-leading email security tools with limited outside capital investment.”
Faber joins Mailprotector’s board of directors as part of the investment.
So what’s next? Watch for Mailprotector to hire in-house channel talent — an indicator that the company’s GetChanneled relationship has fulfilled its mission, and paved the way for Mailprotector to march forward without external guidance.
Additional insights from Joe Panettieri.