Total amount raised
$328.2 Millions
Latest funding date
Location
Drata has successfully raised significant funding over multiple rounds, establishing itself as a key player in the compliance automation industry. The platform offers robust solutions for automating compliance processes across various frameworks, including SOC 2, ISO 27001, PCI DSS, HIPAA, and GDPR.
Keep reading to delve into the details of Drata's funding journey and the investors who are backing this innovative platform.
What Is Drata?
Drata, founded in 2020, is a security and compliance automation platform based in San Diego, California. The company was established by Adam Markowitz, Daniel Marashlian, and Troy Markowitz. Drata has grown rapidly, now employing over 200 people dedicated to simplifying compliance for businesses.
How Much Funding Has Drata Raised?
- Seed Round
- Amount Raised: $3.2M
- Date: January 2021
- Lead Investors: Cowboy Ventures
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of Drata's compliance automation platform.
- Series A
- Amount Raised: $25M
- Date: June 2021
- Lead Investors: Notable Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the platform's capabilities and support more compliance frameworks.
- Series B
- Amount Raised: $100M
- Date: November 2021
- Lead Investors: ICONIQ Growth
- Valuation at Round: $1 billion
- Motivation Behind the Round: To scale the platform and integrate additional compliance frameworks.
- Series C
- Amount Raised: $200M
- Date: December 7, 2022
- Lead Investors: ICONIQ Growth, GGV Capital
- Valuation at Round: $2 billion
- Motivation Behind the Round: To invest in R&D and enhance the enterprise-grade, automation-first solution.
Drata has raised a total of $328.2M with a current valuation of $2 billion.
Key Investors
- ICONIQ Growth
- Details: ICONIQ Growth is a growth equity firm that invests in high-growth technology companies. They have a strong track record of supporting companies from early growth stages to IPO and beyond.
- Investment Focus Areas: Technology, fintech, consumer internet.
- Notable Investments: Snowflake, Datadog, Uber.
- GGV Capital
- Details: GGV Capital is a global venture capital firm that invests in multi-stage companies. They focus on sectors such as consumer, internet, enterprise, and smart tech.
- Investment Focus Areas: Consumer, internet, enterprise, smart tech.
- Notable Investments: Alibaba, Slack, Square.
- Salesforce Ventures
- Details: Salesforce Ventures is the investment arm of Salesforce, focusing on enterprise cloud companies. They aim to extend the power of the Salesforce platform through strategic investments.
- Investment Focus Areas: Enterprise cloud, SaaS, CRM.
- Notable Investments: Zoom, DocuSign, Twilio.
- Cowboy Ventures
- Details: Cowboy Ventures is a venture capital firm that invests in seed-stage technology startups. They focus on helping founders build products that re-imagine work and personal life in large and growing markets.
- Investment Focus Areas: Seed-stage, technology, consumer internet.
- Notable Investments: Dollar Shave Club, Guild Education, Productboard.
- Silicon Valley CISO Investments (SVCI)
- Details: Silicon Valley CISO Investments is a group of Chief Information Security Officers who invest in cybersecurity startups. They leverage their expertise to support innovative security solutions.
- Investment Focus Areas: Cybersecurity, enterprise security, data protection.
- Notable Investments: Not publicly disclosed.
What's Next for Drata?
Drata stands at the cusp of significant growth opportunities, driven by the increasing global demand for security and compliance automation. With the GRC market projected to reach $15 billion in the next three years, Drata's expansion into more compliance frameworks and the development of enterprise-grade solutions position it well to capture a substantial share of this market. The company's participation in the AWS ISV Accelerate Program further enhances its ability to streamline security and compliance automation for a broader range of customers.
Future fundraising opportunities appear promising, given Drata's rapid valuation increase and successful Series C round. Continued investment in research and development will be crucial as the company seeks to innovate and expand its offerings. However, Drata will need to navigate challenges such as keeping up with evolving compliance requirements and maintaining the quality of its platform amidst rapid scaling. Competition in the cybersecurity and compliance automation sectors will also be a significant hurdle as more startups enter the market.
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