66 F
San Diego
Friday, Jun 9, 2023

ClickUp Raises $35M from Craft Ventures

ClickUp, a company that provides workplace collaboration software has raised $35 million in Series A funding led by Craft Ventures with participation from Georgian Partners.

The funding will be used to begin paid marketing and localizing the product to different languages and user geographies. This is the startup’s first outside capital, and will be used to grow “aggressively,” setting an ambitious goal to expand its 90-person team to 500 by the end of this year.

David Sacks, general partner of Craft Ventures, will join ClickUp’s board of directors as part of the raise. Sacks was part of the PayPal mafia, formerly serving as Chief Operating Officer alongside Elon Musk and other well-known entrepreneurs during the earliest days.

“ClickUp’s rapid growth through viral, bottom up adoption was a clear sign to us, people love it,” said Sacks. “We believe Zeb’s vision for uniting collaboration tools on one, flexible platform is the future for the category.”

- Advertisement -

Founded in 2016, by Zeb Evans chief executive of ClickUp, he moved its headquarters from the Bay Area to downtown San Diego’s Gaslamp District in January 2020.

The software company serves as an all-in-one cloud-based project management platform that can be used by every department and any type organization.

“In most companies, you’ll find that marketing uses several tools and engineering uses several tools for all of their work,” said Evans. “What our application does is, it provides all of those tools, in one. It’s also very flexible and allows organizations to have simple use cases.”

$45B Market

Project management and collaboration software, roughly a $45 billion market, is growing significantly as the number of employees working from home saw a steep increase due to shelter in place orders.

Businesses that use ClickUp’s solutions range from giant corporations to accounting firms to even family-owned flower shops.

Many businesses traditionally used tools such as spreadsheets and email, but through switching to ClickUp’s platform, businesses can improve their productivity by up to 40% saving a day’s worth of time, said Evans.

Competitive Industry

A highly competitive market, additional player in the productivity vertical include Asana, Monday.com, Jira and Wrike, among several others. The startup’s competitive advantage lies in its ability to iterate quickly and offer customers new features on a weekly basis.

“Every Friday, we release new features from our user input,” Evans said. “We just keep iterating and that enables us to keep growing because our users will do the marketing for us. We didn’t spend any money on marketing, the product practically marketed itself.”

In addition, the company has introduced its latest solution called Remote Work OS, a bundle of tools that gives users a better snapshot of what employees are working on and how that work fits inside broader company goals.

ClickUp generates revenue by selling a $5 month per user subscription plan, which gives people access to task management software, docs and wikis, chat and integrations with a host of other popular tools.

Built with intentionality, ClickUp’s platform also integrates with common business software including Google Drive, Slack, Zoom, Salesforce, GitHub, and Zendesk.

More than 100,000 Customers

Notable companies that use ClickUp include Google, Nike, Uber, Airbnb, Netflix, and Ubisoft. In total, more than 100,000 teams are using its software platform to digitally collaborate on projects, said Evans.

Looking ahead, Evans said the next few years the team will be focused on making its product “lightning fast,” as well as improving previous under prioritized areas and product bugs.

At age 21, Evans dropped out of college to build an internet company. ClickUp is his third venture and across all startups he has generated more than $60 million in revenue, to date. Clickup’s revenue numbers were not disclosed.

Evans said he believes the company will be able to attract top talent moving forward.

“We’ve been able to find incredible people here,” said Evans. “We haven’t had any trouble at all hiring, it’s been a night and day difference hiring here versus San Francisco. It’s been so much better for us and I can’t say enough good things about San Diego.”


Featured Articles


Related Articles