Total amount raised
$203.6 Millions
Latest funding date
5/1/2021
Location
Loom has successfully raised significant funding through multiple rounds, culminating in its acquisition by Atlassian for $975 million. The platform offers a unique solution for work communication, enabling users to create and share instantly shareable videos.
Keep reading to explore the intricacies of Loom's fundraising journey and the investors backing this innovative platform.
What Is Loom?
Loom, founded in September 2016, is a San Francisco-based company specializing in work communication tools. The platform allows users to create instantly shareable videos, enhancing the way teams communicate.
The company was established by Joe Thomas, Shahed Khan, and Vinay Hiremath. Their vision was to simplify video messaging, making it accessible and efficient for everyone.
Today, Loom employs between 101 and 250 people, serving millions of users and hundreds of thousands of companies worldwide.
How Much Funding Has Loom Raised?
- Seed Round
- Amount Raised: $600K
- Date: October 2016
- Lead Investors: 1517 Fund
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop the initial product and validate the market need for video messaging.
- Seed Round
- Amount Raised: $3.2M
- Date: May 2017
- Lead Investors: General Catalyst, Point Nine
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the team and accelerate product development.
- Series A
- Amount Raised: $11M
- Date: February 2019
- Lead Investors: Kleiner Perkins
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance the platform's features.
- Series B
- Amount Raised: $30M
- Date: November 2019
- Lead Investors: Sequoia Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support rapid user growth and expand market reach.
- Series B
- Amount Raised: $28.8M
- Date: May 2020
- Lead Investors: Coatue, Sequoia Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further develop the product and increase user acquisition.
- Series C
- Amount Raised: $130M
- Date: May 2021
- Lead Investors: Andreessen Horowitz
- Valuation at Round: $1.53 billion
- Motivation Behind the Round: To drive product innovation and scale operations globally.
Total Amount Raised: $203.6M. Current Valuation: $1.53 billion.
Key Investors
- Andreessen Horowitz
- Details: Andreessen Horowitz is a prominent venture capital firm based in Silicon Valley. They are known for investing in early-stage and growth-stage technology companies.
- Investment Focus Areas: Technology, software, consumer internet, enterprise IT.
- Notable Investments: Facebook, Airbnb, Slack.
- Kleiner Perkins
- Details: Kleiner Perkins is a venture capital firm that invests in early-stage and growth-stage companies. They have a strong track record in technology and life sciences sectors.
- Investment Focus Areas: Technology, life sciences, healthcare, consumer products.
- Notable Investments: Google, Amazon, Twitter.
- Sequoia Capital
- Details: Sequoia Capital is a leading venture capital firm that invests in seed, early, and growth-stage companies. They focus on technology and healthcare sectors.
- Investment Focus Areas: Technology, healthcare, consumer services, financial services.
- Notable Investments: Apple, Google, WhatsApp.
- Coatue Management
- Details: Coatue Management is a global investment firm that focuses on technology, media, and telecommunications sectors. They invest in both public and private markets.
- Investment Focus Areas: Technology, media, telecommunications, consumer internet.
- Notable Investments: Snap, ByteDance, DoorDash.
- General Catalyst
- Details: General Catalyst is a venture capital firm that invests in early-stage and growth-stage companies. They focus on transformative businesses across various sectors.
- Investment Focus Areas: Technology, healthcare, consumer products, enterprise IT.
- Notable Investments: Airbnb, Stripe, Snap.
What's Next for Loom?
Loom's future looks promising as it continues to ride the wave of hybrid work trends. With a user base that has grown by over 900% since early 2020, the company is poised to expand its market reach and develop new features like loomSDK and enhanced discovery experiences. The potential to further penetrate the enterprise market is significant, given its current use by over 200,000 companies.
Future fundraising opportunities seem bright, especially with the strong backing from high-profile investors like Andreessen Horowitz and ICONIQ Growth. This support could pave the way for additional funding rounds or even an IPO, enabling Loom to scale its operations globally and drive product innovation.
However, Loom will face challenges such as competition from other video communication tools and the need to maintain high user engagement. Ensuring seamless integration across platforms and adapting to the evolving needs of hybrid work environments will be crucial for sustaining its growth momentum.
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