KCRise Fund-backed startup secures $20M Series C, fueling its commitment to KC

A Texas-based caregiver support platform’s latest funding round is expected accelerate the company’s growth and expand its support solutions, said CEO Michael Walsh, noting the startup continues to deepen ties to Kansas City.

Cariloop today announced the close of its Series C funding round, raising $20 million. The investment was led by ABS Capital with participation from existing investors Noro-Moseley Partners, KCRise Fund, Revolution’s Rise of the Rest Seed Fund, and Patterson Thoma Family Office. 

Darcy Howe, Ed Frindt, and Liam Reilly, KCRise Fund III

Headquartered in Richardson, Texas, Cariloop was in 2020 the first out-of-market investment from Kansas City-based KCRise Fund — reflecting an expanded look by the hometown VC firm at how companies like Cariloop could bring local impact for its investors, Darcy Howe, managing director of the fund, told Startland News.

Cariloop recognized the significance of that early support, said Walsh, whose company helps families manage their loved ones’ care needs by connecting them to an employer-sponsored, digitally-powered caregiver support platform.

“Given we already had a number of Kansas City-based employers as customers and were already helping a significant number of families locally, we saw an opportunity to partner and expand our on-the-ground efforts to reach more companies and caregivers as well as to create a number of new employment opportunities in Kansas City,” said Walsh, co-founder of Cariloop.

The company’s comprehensive solution — which aims to reduce stress and burnout for employees, driving increased productivity and reduced absenteeism for employers — was and remains a great fit for corporate investors and companies in Kansas City, Walsh and Howe said.

“Ultimately, KCRise believed that the more companies locally we partnered with, the more caregivers and families we would support long-term, and the more jobs we created, the more positive the economic development impact would be,” Walsh continued. “We’re very proud of the results we’ve seen in Kansas City thus far, and plan to continue investing our time, resources and services in the Kansas City market in the months and years ahead.”

Click here to take a look at KCRise Fund’s portfolio.

Cariloop’s Series C investment will primarily fuel the company’s expanding market reach with employers and caregivers as well as a number of key investments in its digital and concierge-level offerings, according to the company. Additionally, the financing round will drive deeper levels of engagement with existing members and support the pressing needs of caregivers and their families. 

“With nearly 75 percent 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,” said Walsh. “The service we provide gives companies a way to support their working caregivers and drive employee wellbeing, productivity and retention. This investment will accelerate our efforts to deliver our innovative solution to more employers and ultimately position our platform as a fundamental benefit to the millions of working caregivers who need it most.”

Cariloop’s revenue growth of nearly 300 percent over the last three years has landed the company on the Inc. 5000 and Deloitte Technology Fast 500. The company currently serves organizations like Garmin, the Stowers Institute for Medical Research, and the Kansas City Royals, as well as Procter and Gamble, KPMG, CAE, American Cancer Society, Arthur J. Gallagher, ASPCA, and Insperity, achieving net revenue retention of nearly 120 percent as well as an NPS score above 80.

“We take a very inclusive approach to our growth strategy and work with employers of all sizes and industries, from the small 25-person consulting practice to the 150,000-employee global manufacturer,” Walsh said. “Our mission is to help relieve the stress and anxiety felt by all caregivers, so it’s extremely important to us to deploy our solution to a wide array of customers. Caregiving is a universal challenge for the workforce regardless of their career path, geographical location, or socioeconomic status, and so we believe it’s our responsibility to reach as many of those caregivers as we can.”

As part of its growth — and commitment to fulfilling KCRise Fund’s early and continued expectations — Cariloop is keeping its eyes firmly trained on Kansas City’s talent pool, he added.

“The potential in the market was a significant part of KCRise’s underwriting of their initial investment in our Series A as well as the follow-on investments they’ve made in our Series B and Series C rounds,” said Walsh. “We’ve hired some incredibly talented, driven, passionate people in Kansas City and are committed to doing so as we continue to serve more companies and caregivers in the community.”