One of Chattanooga’s first angel funds that helped propel the city’s entrepreneurial economy has sold its interest in a second successful startup, helping the fund to recapture more of its initial $3.1 million of investments in local and regional startups.
Chattanooga Renaissance Fund (CRF), which was started in 2010 to help provide seed capital for new businesses, said it has sold its interest in the Nashville-based Inova Payroll for an undisclosed amount.
Inova Payroll, an award-winning payroll and human resources service provider that was on the Inc. 5000 list of America’s fastest growing companies for each of the past two years, agreed last month to merge with Atlanta-based Payroll Strategies as part of a recapitalization with the private equity firm of Tritium Partners.
“This transaction brings together two complementary businesses, along with a significant capital investment to fund our expanding services and national footprint,” said Farsheed Ferdowsi, Inova Payroll’s founder and CEO.
David Belitz
Farsheed FerdowsiPart of Inova’s initial growth came through its 2012 acquisition of Computerized Payroll Services (CPS) in Chattanooga, where the company still maintains an office.