Total amount raised
$3.2 Billions
Latest funding date
7/1/2022
Location
Retool has successfully raised significant funding over multiple rounds, attracting a diverse group of investors. The platform is designed to help developers build custom internal software more efficiently.
Keep reading to explore the intricacies of Retool's fundraising journey and the investors backing this innovative platform.
What Is Retool?
Retool, founded in 2017 by David Hsu, is headquartered in San Francisco, California. The company specializes in providing a platform that helps developers build custom internal software more efficiently.
With a focus on connecting databases, building with components, and customizing with code, Retool enables businesses to create interfaces that display and manipulate data quickly and accurately. This allows companies to streamline their operations and focus on their core expertise.
Currently, Retool employs between 251 and 500 people, reflecting its growth and the increasing demand for its innovative solutions in the software development industry.
How Much Funding Has Retool Raised?
- Seed Round
- Amount Raised: $1M
- Date: September 2017
- Lead Investors: Daniel Gross, Elad Gil, John Collison, Nat Friedman, Patrick Collison
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To kickstart the development of Retool's platform and bring the initial product to market.
- Series A
- Amount Raised: $25M
- Date: April 2019
- Lead Investors: Sequoia Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale the platform and expand the team to meet growing demand.
- Series B
- Amount Raised: $50M
- Date: October 2020
- Lead Investors: Sequoia Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To enhance product features and accelerate market penetration.
- Series C
- Amount Raised: $20M
- Date: December 2021
- Lead Investors: Daniel Gross, Elad Gil, John Collison, Nat Friedman, Patrick Collison
- Valuation at Round: $1.85 billion
- Motivation Behind the Round: To optimize funding strategy for long-term health and employee benefits.
- Series C2
- Amount Raised: $45M
- Date: July 2022
- Lead Investors: Sequoia Capital
- Valuation at Round: $3.2 billion
- Motivation Behind the Round: To invest in headcount, new products, platform improvements, and international expansion.
Total Amount Raised: $141M. Current Valuation: $3.2 billion.
Key Investors
- Sequoia Capital
- Details: Sequoia Capital is a prominent venture capital firm known for investing in early and growth-stage companies. They have a long history of backing successful startups.
- Investment Focus Areas: Technology, healthcare, consumer, financial services.
- Notable Investments: Apple, Google, Oracle.
- Daniel Gross
- Details: Daniel Gross is an entrepreneur and investor, known for his work in AI and technology startups. He was a former partner at Y Combinator.
- Investment Focus Areas: Artificial Intelligence, technology startups, innovation.
- Notable Investments: Pioneer, GitHub, OpenAI.
- Elad Gil
- Details: Elad Gil is a serial entrepreneur and investor with a focus on technology and healthcare. He has been involved in several high-growth companies.
- Investment Focus Areas: Technology, healthcare, biotech.
- Notable Investments: Airbnb, Stripe, Gusto.
- John Collison
- Details: John Collison is the co-founder of Stripe, a technology company that builds economic infrastructure for the internet. He is known for his contributions to fintech.
- Investment Focus Areas: Financial technology, economic infrastructure, internet services.
- Notable Investments: Stripe, Pilot, Fast.
- Nat Friedman
- Details: Nat Friedman is the former CEO of GitHub, known for his contributions to open-source software and technology investments. He has a strong background in developer tools.
- Investment Focus Areas: Open-source software, developer tools, technology.
- Notable Investments: GitHub, Xamarin, OpenAI.
What's Next for Retool?
Retool's future is brimming with opportunities, particularly with the expansion of its user base through the updated free plan for developers. This initiative is set to attract startups, small teams, and independent developers, significantly increasing the platform's reach. The company's collaboration with industry giants like Amazon and DoorDash further underscores its potential to revolutionize internal software development.
With a valuation of $3.2 billion, Retool is well-positioned for future fundraising opportunities. The recent $45 million Series C2 round, led by prominent investors, indicates strong market confidence. Future rounds could focus on international expansion, product enhancements, and scaling operations to meet growing demand.
However, Retool faces challenges such as competition from other low-code platforms and maintaining user-friendliness while adding advanced features. Ensuring security and compliance as the platform scales will also be crucial. Despite these hurdles, Retool's strategic focus on long-term health and employee benefits positions it well for sustained growth and innovation.
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