Everyday business decisions require data and are often questions that someone has already asked and answered. However, as all this knowledge is not always accessible if you are not in the field of research or have a panel of experts. NewtonX wants to change that.
Business Insights on Wednesday announced $32 million in Series B funding to further develop its tool aimed at democratizing access to high-quality data and research.
The tour was led by Marbruck Ventures and included a Tier 1 fund backed by UBS O’Connor, Gaingels and Heliad Partners. Existing investors also participated in Two Sigma, Third Prime, XFund, Story Ventures and Switch. The latest investment gives NewtonX a total raised amount of $47 million.
We revisited the company in 2019 when it announced a $12 million Series A round, but the premise behind the company is that it has developed search engine technology to match questions with only those who know the answer among an open network of more than a billion professionals. It also ensures that every professional checks in so there is real experience.
NewtonX co-founder and CEO Sasha Eder told TechCrunch that the company was very close to the path to profitability, but decided to take the new capital to prioritize growth. She used Series A funding to invest in technology, and now she wants to take that technology to the next level, bringing in automation and artificial intelligence, so that the answers come faster, and thus turn into a scalable in the enterprise to handle any growth future.
At the beginning of the year, the company also put together its marketing and sales teams for more brand awareness and partnerships. Eder said a large portion of Series B will go deeper into building a product portfolio, which will require additional marketing, sales and engineering hiring.
He added, “During the first four years of our company, we did not have a sales team, which is different from other startups, but we can say that we have a suitable product for the market from day one.” “We’ve delivered the right solutions and plenty of organic growth, and now is the time to take that to the next level with a strategic approach to outreach and global expansion.”
NewtonX works with more than 200 companies, such as the Pinterest and Fortune 500 consulting firms, financial institutions, market research firms, and mid-size companies. Eder said the company is growing 100% year over year and has plans to grow from 80 employees today to more than 200 by the end of 2022. He had about 45 employees this time last year.
Kemper Shaw of Marbruck Ventures said in a written statement that even venture capitalists need access to insights, which is an added reason to make the company attractive.
“In just five years, NewtonX has established itself as a leader in B2B research and is used by the world’s leading companies that trust NewtonX to get the data they need to make multi-million dollar decisions,” Shaw said. “Knowledge graphing and custom recruitment automation allow them to connect business leaders with insights they could not previously have access or where they had to question the validity of data, NewtonX has solved this problem and will be an important part of companies’ competitive advantage in the years to come.”