SOURCE: Socialware

Socialware

February 09, 2011 09:00 ET

Socialware Secures $3 Million in Funding

Funding to Enable Socialware to Capitalize on Increasing Demand, Extend Market Leadership and Expand Offerings

AUSTIN, TX--(Marketwire - February 9, 2011) - Socialware, the leader in social media compliance and engagement, today announced that it has secured $3 million in additional funding from existing investors, including FLOODGATE, G-51 Capital and Silverton Partners. Socialware has attracted tremendous interest from the venture capital community and will use this new capital to extend its market leadership and expand its platform reach and capabilities to meet the growing needs of enterprises who are embracing social networking, even in industries with the most demanding compliance standards, in a compliant and secure way. Socialware continues to provide the technology, tools and thought-leadership to allow the financial services industry to activate social networks and is the #1 provider of social networking compliance tools for the industry.

"Never before have so many consumers connected on sites like LinkedIn, Facebook and Twitter and we're seeing tremendous opportunity in helping small businesses to Fortune 500 enterprises activate and engage on these social networks in a compliant and effective way," said Chad Bockius, CEO of Socialware. "As social networks continue to expand in industries like financial services, effective and flexible social tools will be critical to leveraging these networks for the needs of the business community and will continue to catalyze adoption. This infusion of capital is validation of the rapidly growing industry demand for Socialware and will enable us to grow aggressively while bringing the very best in team, technology, partners and services to regulated industries."

The problem of compliance in social networks has been amplified in regulated industries like financial services, where FINRA/SEC policies have led businesses to avoid social networks or try their best to manage their social activities manually. However, through Socialware's industry-leading technology, firms can now efficiently navigate the record-keeping, suitability and supervision challenges associated with social media, as detailed in FINRA Regulatory Notice 10-06. Moreover, Socialware provides best practices and insights that offer a roadmap to enable firms to take full advantage of the benefits associated with social media.

"Social networks provide a dynamic opportunity for our members, their producers and the financial industry as a whole, to create meaningful and interactive relationships with hundreds of friends and clients at the local level. I believe that individual social networks will replace the vast majority of today's critical prospecting and new business development activities for producers," said James Kerley, President of LIMRA Services. "With the right technology and education, we will continue to see a dramatic shift in the industry attitude toward social networking from reluctance to overwhelming excitement at the opportunities now available. Technology innovators like Socialware are -- and will continue to be -- the key to accessing and utilizing these social networks, enabling firms to capitalize on the existing opportunities, while creating new ones."

Socialware currently services nearly 100 customers, which include five of the top national insurance companies, including New York Life Insurance Company; 15 of the top independent broker dealers in the nation; and eight of the top national wealth management firms, as well as other major financial brands. Moreover, the company signed more than 40 new customers in Q4 2010 alone, validating Socialware as the company to meet the complex requirements of enabling social networking within the financial industry. Socialware has also expanded its strategic partnerships in order to best serve its financial services customers, including financial industry associations like LIMRA and innovative messaging and discovery vendors, including Symantec, Iron Mountain, Global Relay, Smarsh and LiveOffice.

"Social networks have seen explosive growth in the enterprise, and Socialware has done what no other company has been able to accomplish -- create a framework for compliant and secure social network access that enables firms in regulated industries to take full advantage of this new channel while establishing a very strong business model," said Mike Maples, Jr. of FLOODGATE. "This inflow of capital validates Socialware's leadership in this market and the market opportunity to activate social networking for companies around the globe."

About Socialware
Based in Austin, Texas, Socialware bridges the gap between the enterprise and social networks to transform the way that companies and their employees engage, communicate and collaborate with clients, partners and one another. Socialware's technology allows companies to transform public social networking sites like Facebook, Twitter and LinkedIn into enterprise-grade channels within the framework of their existing business processes. You can find out more about Socialware at www.socialware.com, as well as on Twitter: @Socialware. You can also read their blog: http://blog.socialware.com/

Contact Information

  • For more information contact:
    Mickey Nelson
    Socialware
    Email Contact
    651.214.4472