FinSight Ventures took part in the latest financing round of Carta, US-leading equity management platform. During this Series F round the company raised $180M led by Lightspeed Venture Partners and Tribe Capital . Previous investors include Andreessen Horowitz, Goldman Sachs, Meritech Capital Partners, Menlo Ventures, Spark Capital, Union Square Ventures, and others.
Carta helps customers to manage ownership, issue new shares and options for the employees, automate tax return fillings and perform valuation.
More than 14 000 companies from seed start-ups to pre-IPO unicorns and more than 700 000 private investors use Carta. The company plans to invest raised funds in launching new product offering CartaX – exchange for secondary trading of private companies shares. By leveraging network effect and automating processes CartaX can overcome inefficiencies and lower operational expenses that currently limits secondary trading volume that exceeded $100B mark in 2019 growing more than 25% YoY but still representing a tiny share of NASDAQ or NYSE trading volume. The gap between extremely limited liquidity on private markets and very liquid public markets will narrow and we believe Carta is well positioned to lead this transition while growing demand for stock-based compensation will drive core product sales.