Digital coaching platform CoachHub has secured new financing of approx. €25 million led by new investor Draper Esprit, alongside existing investors HV Capital, Partech, Speedinvest, signals Venture Capital and RTP Global. This latest round brings the total funds raised to over €40 million following the company’s +€16 million funding round in late 2019.
CoachHub, which uses AI to match individuals to business coaches, has seen significant growth since it was founded in 2018 by brothers Yannis and Matti Niebelschuetz. In just two years the team has created a global network of more than 1000 certified coaches across six continents, making CoachHub the fastest growing European company in this sector.
CoachHub will use the new funds to accelerate its growth in the digital coaching market, with plans to add 1000 coaches to its network and make 120 new hires across Europe, Asia and the US, which would bring the team to 300.
The team also has plans to develop its think tank “Coaching Lab”, which uses machine learning technology and business intelligence to drive behaviour research and development in the field of coaching; it also offers expert contributions and tools to support the development of employees. Members of the Coaching Lab include some of the leading European professors, psychologists, coaches, researchers and learning experts, and partners include leading institutions, such as the British Psychological Society, Henley Business School and Harvard Business Publishing.
CoachHub has acquired clients ranging from large corporations, such as Generali and Bosch Rexroth, to tech startups like SoundCloud and HelloFresh. Most recently it signed up BNP Paribas and SumUp. Since the pandemic outbreak, the company has also offered a CoachHub4Good initiative, whereby employees at aid organisations, such as the United Nations in Lebanon, Iraq and South Sudan, are supported with free coaching.
Companies can invite employees to join the digital coaching platform, where an AI-based matching system recommends three business coaches who meet the individual requirements of the employee. Coach and coachee communicate directly via the CoachHub app on smartphone or desktop. Coaching typically takes place via bi-weekly video calls, and e-learning assignments are available for personal development.Employees have round-the-clock access to their coach via an integrated chat function. Coaches cover a range of disciplines, including time and stress management, resilience and leadership skills while remote working.
Yannis Niebelschütz, co-founder and chief marketing and sales director, CoachHub, said: “The pandemic has triggered a huge surge in digital solutions for training and personal development. Company leaders and HR professionals are desperately looking for support as they move more of their operations online. With this new funding, we can continue to meet the enormous demand whilst significantly expanding our network.”
Christoph Hornung, investment director at Draper Esprit, said: “If 2020 has shown us anything, it’s that the future of work will look very different to what we expect and can change faster than anyone thinks possible. CoachHub’s technology is helping some of the world’s top companies transform today to be ready for tomorrow. We are delighted to be backing CoachHub and we’re excited by their potential scale.”
David Kuczek, general partner at HV Capital, said: “Digital coaching is a future billion-dollar market. Due to the pandemic, this area has now picked up speed even more rapidly. The demand is huge. We see CoachHub as the clear global industry leader. The team’s performance in building the network and the platform is impressive.”