Baltimore startup TeamPassword was bought by Texas-based data security firm Jungle Disk, according to the companies, which did not disclose the terms.
Jungle Disk officials said the acquisition will allow the company to offer additional services to small businesses, including help generating secure unique passwords and easy-to-use password management. The officials pointed to a recent report found more than 80 percent of hacking-related breaches are due to stolen or weak passwords. And the number of passwords each person maintains continues to grow.
The tool from TeamPassword, launched in 2012, is cloud-based and allows users to manage and securely share passwords with other employees. Depending on the number of users, plans cost $150 to $1,000 annually.
Brian Sierakowski, CEO of TeamPassword, said he has been looking into the option of an acquisition deal since around December. He thought it could help TeamPassword grow more quickly and accelerate toward its near-team goals, like increasing customer base, growing sales and ramping development of new features and tools.
“This will allows things to move a lot more quickly, and we can get some better traction,” Sierakowski said. “We were on a good trajectory already, but we wanted to really take things up to the next level.”
Jungle Disk CEO Bret Piatt told the San Antonio Business Journal he wants to add TeamPassword’s services to a suite of tools his company is building for the small business market for cybersecurity in the cloud. The company recently acquired SafetyNet, a backup service for the cloud version of accounting software QuickBooks, to add to its tools.