Canadian startup ContactMonkey- the innovative internal email communications platform, has successfully secured $55 million in Series A funding from Updata Partners, a prominent growth equity firm. This funding arrives at a crucial time when employee engagement is a pressing concern for enterprises globally, with reports indicating that 59% of workers feel disengaged, potentially leading to significant economic consequences.
Scott Pielsticker, the CEO and Founder of ContactMonkey, emphasized the company’s commitment to enhancing communication within companies, fostering a collaborative and transparent culture, especially in the context of remote work and diverse teams. ContactMonkey, founded in 2010, has been bootstrapped and profitable, experiencing an impressive 330% growth in the last three years with robust unit economics. The decision to seek investment is driven by the need to efficiently scale and meet the growing demand for its solutions.
ContactMonkey serves as a comprehensive solution for connecting and engaging employees across diverse locations. The platform seamlessly integrates with popular email clients like Microsoft Outlook and Gmail, as well as SMS, Microsoft Teams, and HRIS such as Workday, ADP, SAP, and more. This adaptability allows communicators to reach every corner of their organization, ensuring timely delivery of crucial company announcements, alerts, and updates.
The platform’s powerful engagement analytics enable users to build segmented employee lists, collect real-time feedback, and leverage detailed email metrics. These insights empower employers to understand their teams better, refining communication strategies for optimal engagement.
With the $55 million funding from Updata Partners, ContactMonkey aims to accelerate its success in Canada, Europe, the US, and Australia. The investment will also support workforce expansion, with plans to double the current employee count in 2024. Updata Partners, known for assisting bootstrapped CEOs in scaling their businesses, recognizes ContactMonkey’s value in addressing the critical issue of employee engagement.
Braden Snyder, Partner at Updata, expressed admiration for ContactMonkey’s achievements as a bootstrapped company and emphasized the firm’s eagerness to collaborate to scale its solutions globally. As part of the investment, Updata Partners will contribute Braden Snyder and Operating Partner Sloan Gaon to join ContactMonkey’s Board of Directors.
This funding follows a series of recent accolades, including Deloitte’s recognition of ContactMonkey in its Fast 50 and Fast 500 lists and The Globe and Mail ranking the company among Canada’s Top Growing Companies. ContactMonkey’s internal email communications platform continues to empower organizations with seamless communication solutions and data-driven insights for optimal employee engagement.