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Revenue growth FY 2020 to 2022: 176%
2022 revenue: $10.03 million
Giving credit: ShipSigma is back on the Fast 25 for the second year in a row, and co-founder and CEO Chase Flashman credits “a great team and a great engine that’s producing results for our clients.” The company, a technology firm that aims to reduce costs for high-volume shippers, is growing through referrals and partnerships,
he said.
Big spenders: Most of ShipSigma’s clients spend $1 million to $25 million a year with UPS or FedEx. ShipSigma uses its technology to negotiate new contracts—“that’s the main way we help companies save money,” Flashman said. “But our technology also audits all the invoices of our clients. Our technology will go through invoices and find errors, late shipments, and other ways to get refunds, and we’ll electronically identify and submit and secure those refunds on behalf of our clients.”
What it’s not: Flashman said ShipSigma reduces companies’ costs by more than 25% without requiring them to change carriers or service levels. It’s not economies of scale or good negotiations, he said. And it’s not through group purchasing power. “A lot is hidden in the world of shipping. You have a duopoly. You have UPS and FedEx. Every single shipper has a different agreement. They don’t know what their neighbor has. They don’t know what their competitor has. They don’t have a lot of information. We bring data, technology and expertise to the table. We’re democratizing the space.”
Clientele: More than 80% of ShipSigma’s customers are portfolio companies of private equity groups, Flashman said. The company has clients in banking, food, manufacturing—“all over the board.” “But it doesn’t matter where they’re shipping from or where they’re shipping to or what industry they’re in. As long as they’re spending more than $1 million.”
More: Flashman projects 50% growth for ShipSigma in 2023 and 2024 and continued growth through partnerships, referrals and “by saving folks a bunch of money.” He said the company may expand into other categories of cost reduction, but he isn’t ready to reveal what those are.•
Check out more of IBJ’s ranking of Indy’s fastest-growing companies.
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