A New Milestone for Doola
In a significant development, Doola, a company that helps global founders start a limited liability company (LLC) in the United States without a Social Security number, has raised an $8 million round of funding. This investment comes less than one year after the company secured $3 million in seed funding, bringing the total funding to just under $12 million since its inception in 2020.
A Year of Growth and Expansion
When we previously wrote about doola in 2021, the New York-based company had just built its Minimum Viable Product (MVP) and was working with its first paying customer. At that time, hundreds of companies had formed LLCs using its software, which provides essential services such as an Employee Identification Number (EIN), a US address, bank account, access to US payments, free tax consultation, US tax support, and a phone number.
Rapid Growth and Adoption
Fast forward to today, thousands of companies from over 130 countries have launched with doola, which has helped the company increase its revenue growth by seven times year-to-date. According to Arjun Mahadevan, co-founder of doola, "This rapid growth is a testament to our vision of creating a ‘business in a box’ solution that makes it easy for entrepreneurs to start and run their businesses compliantly."
Building a One-Stop Solution
Doola’s software has evolved into a comprehensive platform that provides education on how to start a company, banking services, credit products, and more. This expansion is aimed at helping the US Census’ project of over 5 million new business applications made in 2021.
The Future of Entrepreneurship
Mahadevan envisions doola playing a significant role in increasing entrepreneurship globally by making it easier for people to start businesses and succeed. "If we can help people go from zero to point one and get their business off the ground, we think we can increase entrepreneurship globally and make it more likely that people with businesses can succeed and reach product-market fit and scale," he said.
New Investment and Future Plans
The new funding will be used to grow doola’s team, particularly in the areas of product, engineering, and R&D. The company plans to expand its offices in New York and Germany and open new locations in other regions. Mahadevan also intends to focus on marketing efforts to reach a broader audience.
Building a Banking Service
In the past year, doola has launched its own banking service with partner Piermont Bank, enabling customers to have a US-based account and remotely bank from anywhere in the world using physical and virtual credit and debit cards and international wires. According to Mahadevan, "The ultimate end goal is to accept payments. We’re also sitting on this treasure trove of data with visibility into companies and how they perform. We’re going to be able to think for customers and provide financial services that they never had before."
Investors Join the Journey
The investment round was led by Nexus Venture Partners, which has invested in doola previously. Other investors participating in the round include Y Combinator Continuity Fund, Hustle Fund, Chris Adelsbach, Sahil Bloom, David Tisch, and Jeff Fagnan.
Conclusion
Doola’s $8 million funding round is a testament to its innovative approach to making entrepreneurship more accessible globally. With its comprehensive platform and expansion plans, doola is poised to make a significant impact on the startup ecosystem.
