New York-based AI startup Clay, originally founded by McGill University graduates, has raised $46 million ($63 million CAD) in a Series B funding round.
Led by Meritech Capital, the round also saw participation from existing investors such as Sequoia Capital, First Round Capital, Box Group, and Boldstart Ventures, bringing Clay’s total funding to $62 million ($85 million CAD) and valuing the company at $500 million.
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Accelerating Growth and Market Expansion
Clay, co-founded by Nicolae Rusan and Kareem Amin, leverages AI to automate sales and marketing tasks, helping businesses streamline operations and improve efficiency. The funding will be used to expand Clay’s engineering and go-to-market teams, further enhancing their AI-driven platform that automates customer research and outreach, reducing the need for extensive manual labor.
Founders’ Vision and Journey
Founded in 2017, the company initially aimed to simplify computer programming but pivoted in late 2021 to focus on sales automation, which proved to be a game-changer. Co-founder and CEO Kareem Amin highlighted the significant impact of this pivot, stating, “With Clay, a single person can now run complex campaigns that previously required coordinating entire teams.”
Growing User Base and Industry Impact
Since its launch, Clay has grown rapidly, now boasting over 50 employees, 100,000 users, and 2,500 customers, including notable names like Anthropic, Intercom, Notion, and Vanta. The company has seen its revenue grow tenfold each of the past two years, solidifying its position as a leading growth engine for innovative teams.
Future Plans and Canadian Connections
Despite its current operations being focused in the US, Clay has expressed interest in tapping into Canadian engineering talent in the future. Andre Charoo, General Partner at Maple VC and longtime supporter of the canadian firm, emphasized the value of backing Canadian founders in the US, aligning with Maple VC’s investment thesis.
This substantial investment positions the startup to continue its rapid growth and innovation in the AI-driven sales automation sector, with plans to further expand its market presence and product capabilities.
