iPad-based point-of-sale (POS) firm Revel Systems, has acquired iqPOSitive, the Russian developer of automation solutions for restaurant businesses. Financial details surrounding the deal have not been made public but the transaction took place in May.
The startup which was founded in 2014 by Timur Bagaev, a former programmer, aimed to address the problems surrounding the new generation of cloud-based solutions with tablets used for a range of process including checkout, employee schedule and inventory management.
Together with Belgian specialists, Bagaev developed an iOS solution to address just this but failed to attract investors.
“Many of them liked our project, but the international tensions played a negative role. While we wanted to raise just a small amount, some investors suggested that we moved the business to Western Europe. At a certain point, we felt that these discussions were absorbing too much time without bringing a result,” said Bagaev,
By 2015, the startup’s iqPOS solution was used by over 200 restaurants across Russian and abroad. This traction eventually attracted the attention of San Francisco-based Revel Systems, which has a portfolio of more than 25,000 clients internationally. The transaction will see them employ Bagaev to be their Russia representative.
Revel Systems has been making headlines recently with talks of International Business Machines Corp. (IBM) being in discussions to acquire the company which was valued at $500 million last year.
Talks are still at the early stage although Revel is expected to fill the void in IBM‘s retail services product line. Its clients currently include restaurants and retailers like Cinnabon, Tully’s and Goodwill Industries.
Its software service allows point-of-sale functions like rode entry, cash register and payment processing, in addition to aiding in the management of employee scheduling, payroll, inventory and accounting. Previous investors include Intuit, Roth Capital Partners and Welsh, Carson, Anderson & Stowe.