Today we’re excited to share that CaptivateIQ has raised $46M in Series B financing from Accel with participation from existing investors at Sequoia, Y Combinator, Amity, and S28, bringing our total funding to $63M. We are also delighted to add GTMfund, Gokul Rajaram (Executive at DoorDash), Elad Gil (advisor at AirBnb, Gusto), and Frederic Kerrest (Executive Vice Chairman, COO, and co-founder of Okta) as our newest angel investors.The new raise will allow us to accelerate our product development and expand our team.
We founded CaptivateIQ in response to the rigid and error-prone processes companies typically rely on to manage commission programs through spreadsheets or costly legacy solutions. Our platform automates the entire process with greater accuracy, easing the administrative workload involved and helping performance-based teams work smarter. Already, tens of thousands of employees are seeing the benefits of transparent compensation and companies are seeing the impact of that visibility.
Sales teams have always relied on in-person interactions to stay motivated - whether it’s meeting a potential client for lunch, tracking deals on a whiteboard, or team celebrations after a big win. In the absence of these activities over the last year, having the right incentives in place became ever more critical as companies required new ways to motivate teams during the shift to remote work.
Companies turned to CaptivateIQ for a solution. In 2020, our revenue grew 6x as businesses like Affirm, Gong, Udemy, Intercom, and hundreds of others relied on our product. We saw our product usage skyrocket at the beginning of the pandemic as businesses quickly adjusted incentives, team quotas, SPIFs, and other components of their comp plans to stay competitive. As of this year, we’ve processed nearly $2B in commissions on our platform for teams around the world and customers are loving their experience.
Sales compensation represents the single largest GTM investment for most B2B companies. In aggregate, U.S. companies alone spend more than $800 billion on it each year—three times more than what they spend on advertising. This is no surprise, as commissions can influence behavior within any business, like when to introduce a new product line or how to encourage reps to focus on certain accounts. Commissions are a powerful incentive and this just the beginning in our journey to transform how companies can effectively leverage them.
Our product team is already working on new functionality that will help people understand how taking certain actions will impact future earnings, so they can make smarter decisions. By being able to model and predict outcomes, companies can drive behavior that benefits their bottom line while helping employees achieve their financial goals.
We’re also thinking ahead to how our technology can benefit the overall sales planning process and other parts of the business connected to revenue. Because our platform doesn’t require any coding background to use, it’s incredibly easy for businesses to unlock the power of CaptivateIQ and expand its impact in an organization.
"CaptivateIQ is more than just commission software. Similar to UiPath, Ada, and Celonis, CaptivateIQ's powerful and easy-to-use no-code platform is automating an important aspect of the sales and finance workflow," said Ben Fletcher, Partner, Accel. "When several of our other portfolio companies kept raving about how much time it was saving their growing sales teams and businesses, we knew something special was happening "
With a team of 90 and counting, we couldn’t be prouder of everyone who’s been a part of our journey so far. We are hiring across the board so come join CaptivateIQ and help us modernize how employees are rewarded for their efforts.
With much gratitude,
Conway, Hubert, and Mark