Zynstra builds hybrid cloud products for SMEs, including a small on-premise 'cloud gateway' appliance that runs local IT services (networking, user administration, printing and backup) and integrates offices with remote cloud services like Office 365. For larger needs the product can run a resilient private cloud to host applications locally when network performance, security or control require it. The company targets smaller enterprises that typically face high upfront capital and integration costs for hybrid IT. Zynstra plans to use the new capital to further develop its hybrid cloud product range, expand its channel reach in the U.K., and launch in the U.S. toward the end of the year. Management sees an opportunity from Microsoft ending support for Windows Server 2003 next July, which they expect will drive demand for infrastructure refreshes. The company has now raised just over $14.4M following the new funding. Zynstra offers a hybrid cloud solution that gives SMEs a full IT system operating like an on‑premise deployment with the flexibility of the cloud. The product is sold for a simple monthly fee and is targeted at businesses with up to 250 employees. CEO Nick East says the platform was designed specifically for SMEs rather than as a scaled‑down enterprise product. Zynstra completed a $3.8M Series A round, bringing total capital raised to just over $6M. The company will use the new funding to accelerate its products.

Total raised

$12M

Funding rounds

2

Latest round

Series B

Latest activity

Jul 2014