A fast-growing North Texas business that helps workers take care of their families at home has raised another $20 million.
Cariloop Inc., a Richardson-based company that has developed a patient caregiver support platform, announced April 9 the closing of a series C funding round. ABS Capital led the round, with participation from existing investors Noro-Moseley Partners, KCRise Fund, Revolution’s Rise of the Rest Seed Fund, and Patterson Thoma Family Office.
The latest funding round followed a $15 million series B round in 2021 and a $6 million series A round in 2020. Cariloop has raised $42.29 million to date following the series C round, according to data from PitchBook.
Revenue growth of nearly 300% over the past three years has landed Cariloop on both the Inc. 5000 and Deloitte Technology Fast 500. Cariloop also made last year’s Dallas 100, based on research by the Caruth Institute for Entrepreneurship at the SMU Cox School of Business.
Founded in 2012, Cariloop currently employs 103. It will use the investment to fuel its expanding market reach with clients, which include Procter and Gamble, KPMG and the American Cancer Society. The capital will also help Cariloop grow its digital and concierge offerings and hire more employees.
“We have increased the number of people we support — and our revenue — by multiples and continue to hit significant milestones in our growth,” CEO Michael Walsh said in a statement. “This investment will allow us to create new partnership and distribution channels to deliver our caregiver support solutions to employers and their teams. Additionally, we’re making sizable investments in our product offerings and digital solutions so we can create deeper levels of engagement with our customers and members.”
Walsh said he wants Cariloop’s services to eventually become a “fundamental benefit” for workers. Its product is an employer-sponsored benefit that connects employees with a care coach who can offer help a variety of issues. Cariloop helps working caregivers and families plan for and manage everything from dementia care to addressing issues with Medicaid.
“With nearly 75% of employees balancing work with a caregiving role, there is a significant opportunity to give critical support to one of the largest employee population groups in an organization’s workforce,” Walsh said. “The service we provide gives companies a way to support their working caregivers and drive employee wellbeing, productivity and retention.”
Cariloop’s eight-figure round stands out even more because of a major slowdown in venture capital funding. The number of venture capital deals nationwide in the first quarter fell to the lowest level since 2017. The 2,882 U.S. deals last quarter represented a 28% from the same time a year prior, according to PitchBook data.
Startups raised a total of $36.6 billion in venture capital last quarter, 8% less than in the previous quarter and down 29% from the first quarter of 2023.
As part of the series C financing, Jennifer Krusius, a partner at Washington, D.C.-based ABS Capital, will join Cariloop’s board of directors. Cal Wheaton, another partner at ABS, will join as a board observer. Steven Theesfeld, a co-founder of Cariloop, and Colin Patrick, Patterson Thoma Family Office’s chief investment officer, will step down from the board.
Krusius said in a statement Cariloop “has seen significant nationwide customer traction and growth,” making it an attractive investment.
“It’s a winning combination, and we’re thrilled to partner with a company that is setting new standards for how caregiving support is provided and enabling more employees to succeed in the workforce,” Krusius said.
Article originally appeared in the Dallas Business Journal.