Total amount raised
$169.1 Million
Latest funding date
4/1/2022
Location
Karat has successfully raised funds across six rounds, attracting a total of 21 investors, including notable names like Serena Williams and Base Partners. The platform specializes in technical interviewing solutions, integrating human expertise with technology to deliver scalable and consistent interview processes.
Keep reading to explore the intricacies of Karat's fundraising journey and the investors backing this innovative platform.
What Is Karat?
Karat, based in Seattle, Washington, specializes in technical interviewing solutions aimed at addressing the shortage of software engineers. The company operates within the Human Resources, Recruiting, and Staffing Agency industries.
Founded by a team of experts, Karat has grown to employ between 251-500 people. The platform offers a range of products and solutions designed to improve the quality and efficiency of technical hiring, including equitable and inclusive hiring practices.
With a global impact, Karat has conducted over 350,000 technical interviews in more than 70 countries, supported by a team of over 500 trained interview engineers.
How Much Funding Has Karat Raised?
- Seed Round
- Amount Raised: USD 2,300,000
- Date: November 2015
- Lead Investors: 8VC
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To develop the initial version of the Interviewing Cloud platform and begin market penetration.
- Series A
- Amount Raised: USD 11,300,000
- Date: May 2017
- Lead Investors: Norwest
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To scale operations and enhance the platform's capabilities.
- Series B
- Amount Raised: USD 28,000,000
- Date: May 2019
- Lead Investors: Tiger Global Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the growth and development of the Interviewing Cloud platform.
- Series Unknown
- Amount Raised: USD 17,500,000
- Date: October 2020
- Lead Investors: Tiger Global Management
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the platform's reach and improve its technology.
- Series C
- Amount Raised: USD 110,000,000
- Date: October 2021
- Lead Investors: Tiger Global Management
- Valuation at Round: USD 1.1 billion
- Motivation Behind the Round: To capitalize on trends like remote work and digital transformation, and to expand product offerings.
- Series Unknown
- Amount Raised: Not publicly disclosed
- Date: April 2022
- Lead Investors: Serena Williams
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To further scale operations and enhance the platform's capabilities.
Total Amount Raised: USD 169,100,000. Current Valuation: USD 1.1 billion.
Key Investors
- Tiger Global Management
- Details: Tiger Global Management is a leading global investment firm that focuses on private and public companies in the technology, software, and internet sectors. They have a history of backing high-growth companies and have been involved in multiple funding rounds for Karat.
- Investment Focus Areas: Technology, software, internet sectors
- Notable Investments: Facebook, LinkedIn, Spotify
- Norwest Venture Partners
- Details: Norwest Venture Partners is a venture and growth equity investment firm that invests in early to late-stage companies across a wide range of sectors. They have been a consistent backer of Karat, participating in several funding rounds.
- Investment Focus Areas: Technology, healthcare, financial services
- Notable Investments: Uber, Spotify, BlueJeans
- 8VC
- Details: 8VC is a venture capital firm that focuses on technology and innovation, investing in companies that aim to solve complex problems through technological advancements. They have been involved in multiple funding rounds for Karat.
- Investment Focus Areas: Technology, healthcare, logistics, financial services
- Notable Investments: Palantir, Wish, Guardant Health
- Exor
- Details: Exor is a diversified investment company with a focus on long-term value creation. They invest in a range of sectors including technology, healthcare, and industrials.
- Investment Focus Areas: Technology, healthcare, industrial sectors
- Notable Investments: Ferrari, The Economist, PartnerRe
- Base Partners
- Details: Base Partners is an investment firm that focuses on technology and innovation-driven companies. They have participated in several funding rounds for Karat.
- Investment Focus Areas: Technology, innovation-driven companies
- Notable Investments: Nubank, Rappi, QuintoAndar
What's Next for Karat?
As Karat continues to grow, the company is poised to capitalize on several significant opportunities. The shift to remote work and the increasing demand for software engineers present a vast market for Karat's Interviewing Cloud. By expanding into non-technical roles and enhancing their data science capabilities, Karat can further solidify its position in the industry.
Future fundraising efforts are likely, given the company's rapid growth and the substantial market potential. With a valuation of $1.1 billion, Karat is well-positioned to attract additional investment to support its expansion and innovation initiatives. However, challenges such as maintaining interview quality and adapting to evolving hiring practices will need to be addressed to sustain this growth trajectory.
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