When developers build software with API access, they need to figure out how to fairly bill users for hitting the API gateway. A flat fee would probably not cover the heavy users and would be unfair to the lighter users. Archetypean early-stage startup has created a metering solution so developers can bill based on usage.
Today, the company announced a $3.1 million seed investment to get the company off the ground. The funding closed in May last year.
“What we do at Archetype is we build an API billing platform. So essentially what we’re doing is we’re building a billing measurement and control structure for API-first companies,” said company co-founder Behailu Tekletsadi.
Tekletsadik says its solution relies on Stripe’s services to provide developers with a full-service metering solution. “We’re built on top of Stripe to enable easy integration through their back-end services and some front-end portals to enable API-first companies to launch self-service products and monetize their platforms.”
This includes usage-based pricing, issuing usage limits, or rate restrictions. He says that’s all bundled into one, “batteries including service.”
It works much like any API service: it’s just a line of code and you can configure the different elements through a dashboard. You can also set it up using the Archetype component library for an external customer.
“If you wanted to use self-service [element] like automatically deploying prices to your end customer, you can make use of our component library and basically dynamically update everything there. And your customers can view their insights, usage statistics and manage their subscription through our customer portal,” he said.
It’s still early days for the product, as the company is still testing the solution with a few customers using it. Currently, the startup has 8 employees and just hired a few engineers. Tekletsadik, who is Black, says he’s built a diverse team so far, even though it wasn’t necessarily the intention.
“I always try to strive for excellence first, and then see if [the candidate] also involves a cultural shift [to the company]. I think one of the first things I learned early in my career is that it’s good to have people with different backgrounds and different experiences. ,” he said.
The company’s seed round was led by MaC Venture Capital with participation from Hustle Fund, Magic Fund, NOMO Ventures, Soma Capital and other investors.