Pangea, a Providence, Rhode Island-based startup that connects young talent and companies in need of independent labor, announced this morning that it has closed a $ 2 million seed round with oversubscriptions.
CEO and co-founder of Pangea Adam alpert told TechCrunch that his company had set out to secure $ 1.5 million, but ended up raising more. We hear it quite often these days.
Lister Delgado from IDEA Fund Partners led the round. Other investors in the transaction included Unpopular Ventures, Brown Angel Group, PJC, and various individuals.
Startup graduated from Y Combinator at the beginning of the year, raising an accelerator check and another $ 350,000 since closing a $ 400,000 pre-seed round last april. In total, Pangea has raised around $ 3 million.
The startup manages a market that links college-age talent with companies that need its services. Given the skill set of many college students, social media and web developer work are popular on the Pangea platform.
The model is scaling. Per Alpert and his co-founder John Tambunting, Gross Goods Volume (GMV), or the value of services sold in Pangea’s market, increased 400% year-over-year in the second quarter of 2021. And the CEO revealed in early July that the GMV of the company increased 40% in the prior period. four weeks.
For context, TechCrunch reported that Pangea was “facilitating $ 50,000 in transactions between university freelancers and businesses” in March 2021. That figure should now be heading toward GMV’s execution rate threshold of $ 100,000 per month. We will anger the company by new growth figures when the third quarter ends.
The latest round of Pangea was a priced event, meaning the startup has graduated from the comfortable early-stage realm of SAFE and other related instruments. The seed round values the company at the modest end of the eight-figure range.
What will Pangea use the money for? Scale your human capital. The company, which currently has four full-time employees, intends to double it to nine.
And because you’re based in Providence, a cheaper market than New York or San Francisco, your new capital will give you more time to grow. Alpert told TechCrunch that his seed capital will give him “20-25 product cycles,” the first time we’ve heard of the catwalk expressing itself in that particular way. We like.
The chief executive said that building in Providence, a “smaller city,” allows Pangea to focus better. And he said that because investors are now willing to invest remotely, the location is not particularly remote.
The startup isn’t the only upstart tech company in town. Alpert told TechCrunch that Providence’s startup scene is starting to grow, saying that “a year ago, very little was happening, but now there are several other early-stage startups backed by companies that work on the same floor as us. . “
TechCrunch recently stopped by the company office where its staff and summer interns were meeting. (Disclosure: your scribe is not a very good photographer):
Pangea now has more capital than it has ever had to further develop its product line, scale GMV, and begin to extend its track with revenue growth. Let’s see how far this seed round can take you and how long it takes for the startup to reach the Series A scale.