Shootsta, a Sydney-based video production start-up with a A$7 million ($5.2 million) valuation has closed a A$1 million ($748,000) funding round with an investment from ASX-listed advertising agency AdCorp, who possess a 15 per cent stake in the startup venture.
Shootsta provides large companies with training, along with equipment enabling them to shoot their own videos, after which the footage is then sent back to the startup for post-production edits.
AdCorp CEO and managing director David Morris joins the board, while Shootsta co-founders, CEO Mike Pritchett and COO Tim Moylan, will continue to lead operations in the venture, which will now become a core part of AdCorp’s offering, with proceeds from the funding being used to expand the startup’s marketing and sales efforts.
In six months, the startup has amassed high-profile clients such as Qantas, Bank of Queensland and Toyota, enabling Shootsta to not only close funding but also to secure more than 20 blue chip partners.
“Our offering is unique, it’s something that’s very much needed in the industry,” Pritchett, who has experience in video production, told StartupSmart in an interaction. By “upskilling” these companies with content creation skills, they are able to drive down production costs. Pritchett highlights two core strategies have helped Shootsta get to this stage.
Investment in sales talent, via recruiting a business development manager and assistant sales manager has aided Shootsta in raising awareness of its brand. This follows Pritchett admitting to errors with regards to sales, as well as the risk associated with working for startup ventures, which can deter prospects used to the greater certianty associated with the corporate sector and small and medium enterprises (SMEs).
Prior to the acquisition of sales talent, Pritchett secured the initial clients by himself, reinvesting sales proceeds into acquiring and expanding their client base, saying, “You almost have to be a salesperson to start with so you’ve got money to pay them and bring enough of a substantial offering so they can trust what your doing.”