Laka has successfully raised significant funding through multiple rounds, establishing itself as a notable player in the bicycle insurance market. The company offers a unique people-powered insurance model that ensures fair and variable monthly contributions for cyclists.
Continue reading to delve into the details of Laka's funding journey and the investors who support this innovative insurance platform.
What Is Laka?
Laka, founded in 2017, is a UK-based company specializing in bicycle insurance through a unique people-powered model. This innovative approach ensures fair and variable monthly contributions for cyclists, making insurance more equitable.
The company was established by Tobias Taupitz, Ben Allen, and Jens Hartwig, who aimed to revolutionize the insurance industry. Their vision has attracted a growing team of dedicated professionals.
With a workforce of over 50 employees, Laka continues to expand its services, offering comprehensive coverage options for cyclists worldwide.
How Much Funding Has Laka Raised?
- Pre-Seed Round
- Amount Raised: $1,500,000
- Date: June 2017
- Lead Investors: Not explicitly mentioned
- Motivation Behind the Round: To develop the initial product and launch the company.
- Seed Round
- Amount Raised: $4,700,000
- Date: February 2020
- Lead Investors: LocalGlobe, Creandum Ventures
- Motivation Behind the Round: To expand services to other markets, including the Netherlands and Malaysia.
- Series A Round
- Amount Raised: $12,000,000
- Date: January 2022
- Lead Investors: Not explicitly mentioned
- Motivation Behind the Round: To scale operations and enhance technology infrastructure.
Total Amount Raised: $18,200,000. Current Valuation: $50,000,000 (~estimated).
Key Investors
- LocalGlobe
- Details: LocalGlobe is a venture capital firm that invests in early-stage companies. They have a strong focus on supporting innovative startups in their initial growth phases.
- Investment Focus Areas: Technology, insurtech, fintech
- Notable Investments: Cuvva, Zego, FloodFlash
- Creandum Ventures
- Details: Creandum Ventures is a European venture capital firm known for backing some of the most successful tech startups. They focus on companies that have the potential to disrupt their industries.
- Investment Focus Areas: Technology, fintech, consumer internet
- Notable Investments: Spotify, iZettle, Klarna
- Tune Protect Group
- Details: Tune Protect Group is a publicly-listed company specializing in insurance and financial services. They are known for their innovative approach to insurance solutions.
- Investment Focus Areas: Insurance, financial services, insurtech
- Notable Investments: Various insurance-related ventures
- 500 Startups
- Details: 500 Startups is a Silicon Valley-based venture capital firm that invests in early-stage startups. They have a global presence and a diverse portfolio.
- Investment Focus Areas: Technology, fintech, insurtech
- Notable Investments: Credit Karma, Canva, Udemy
- Amanda Blanc
- Details: Amanda Blanc is the former Group CEO of Axa UK and Chair of Zurich Plc. She currently serves as a Non-Exec Director of Aviva.
- Investment Focus Areas: Insurance, financial services
- Notable Investments: Not specified
What's Next for Laka?
As Laka looks to the future, the opportunities are vast. The company is poised to expand its unique insurance model beyond high-end bicycles, targeting other high-value possessions. With plans to enter the European market and launch Sharia-compliant insurance in Malaysia, Laka is tapping into significant growth potential.
To support this expansion, future fundraising rounds are likely. The involvement of prominent investors and the company's innovative approach make it an attractive candidate for additional investment. However, scaling the community-based model and navigating diverse regulatory environments will be challenging. Maintaining customer satisfaction and transparency as the company grows will be crucial for sustained success.
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