Terazo Receives $10.5 Million in Funding from Tercera and Twilio

Terazo, a company that offers outsourced software development teams and other tech talent to other companies, has received a $10.5 million funding round. The investment was led by Tercera as well as cloud communications API company Twilio.

Virginia-based Terazo helps companies ranging from startups to large, publicly traded enterprises as they embark on their migration to the cloud. The company specializes in helping businesses integrate and automate their internal systems through a blended team model. Terazo's outsourced tech talent, which specializes in API management, works with clients' internal development teams to help them flourish as they move to the cloud.

“Internal development teams are often focused on the core business systems and software development initiatives of a company, with large product development backlogs that they’re assigned to,” said Mark Wensell, CEO of Terazo. “When strategic API integration or API publishing opportunities come along, using internal teams for that work often means their focus attention to core product development is taken away.”

The company views itself as a provider of software development-as-a-service, helping businesses update their communications infrastructure without needing to reinvent the wheel from an API perspective. It counts real estate platform provider PrimeStreet as a customer, and Terazo helped the company build a unified digital platform powered by APIs.

“For us, things like REST API integrations are a relatively repeatable pattern across our client portfolio, whereas for an internal team, there might be a much larger learning curve to learn the necessary patterns and practices and get it right,” said Wensell. “That becomes even more true when a client is building on a technology platform like Twilio. We have deep experience and a lot of reusable assets that mean our clients’ spend is focused on the customization unique to their business process.”