Eliot Crowther resigned from PushPay, the company that created his fortune, in June.
He also sold all of his 9% stake, netting $108 million.
PushPay co-founder Chris Heaslip tells NBR he and Crowther had no falling out over the direction of their mobile payment startup, despite it coinciding with a decision to put-off a Nasdaq listing.
Rather, Crowther had encountered a “significant personal situation.”
The entrepreneur, who is now based in the US, wanted to spend more time with his family.
That phrase has become something of a cliché but Heaslip says it’s true in this case.
“Eliot’s been going through a tough situation these last couple of years. Being part of a high-growth startup is an extremely large investment of your time and it can be hard to balance all the different needs alongside that. So he made that decision to personally leave,” the co-founder said.
He added, “it’s a very amicable situation.”
Aaron Bhatnagar, an early stage investor who came on board before Pushpay’s IPO, said he was said to see Mr Crowther depart.
“I am very grateful to him, Chris and others who have been instrumental in Pushpay’s story. They have done a wonderful thing in building such an amazing company.
“However, I recognise Eliot wanted to focus on his personal life and I respect that.”
Heaslip told NBR that his cofounder sold all of his stock in one go, which was necessary to attract large institutional investors.
Bhatnagar added, “I do think the company has done well to place all his stock in one go, as it removes any perception of overhang and helps bring on board more investors in the one corporate action.”
His share sale came after a strong year for PushPay, whose software allows churches to collect and manage donations (it is also looking to expand into non-profits and private schools).
The NZX/ASX-listed, US-based software company reported a revenue increase of 105% for its 2018 financial year to $US70.2m, meeting guidance. Its loss narrowed 9% to $US23.3m.
Over the past 12 months, its shares have climbed from under $2 to consistently trading above $4, giving PushPay a market cap of just over $NZ1 billion.
Crowther sold heat pumps and other equipment for HRV, the home ventilation company, before co-founding PushPay with Heaslip in 2011.
His in-depth understanding of mobile commerce and the sales process was essential in establishing two of Pushpay’s key vertical markets in the ‘faith’ and non-profit sectors. An ex-colleague describes him as a man of great character and with “a ferocious work ethic.”
Back in 2011, Crowther and Heaslip each invested $40,000 and mortgaged houses to fund Pushpay’s development. Within days of almost running out of money in December 2013, Crowther apparently turned up in flip flops, shorts and a t-shirt to a two-hour meeting with Rich Lister Peter Huljich who subsequently injected $2 million to keep the business afloat.
Recognised with the EY Young Entrepreneur of the Year Award in 2015, Crowther is also a former New Zealand cycling representative and holds a diploma of applied science from AUT University.
He relocated to Seattle with his wife Dorette and their children after PushPay was founded in 2011.