Creatio Achieves Unicorn Status with $200 Million Funding Round

Preeti Bali / 8:57 am / June 28, 2024

Creatio, a software company offering a low-code platform for customer relationship management (CRM), announced a significant funding milestone on Wednesday. The $200 million funding round propelled Creatio to “unicorn” status, signifying a valuation of $1.2 billion.

Established Player in the Low-Code Market

Founded in 2014, Creatio has grown into a substantial organization with a global workforce of 700 employees spread across seven offices, including locations in Poland and Ukraine. The company caters to mid-sized and large enterprises, counting Coca-Cola and MetLife among its clientele. While still in the growth phase and not yet generating profit, Creatio has demonstrated consistent revenue growth, boasting a 50% annual increase for several years.

Strategic Investment Fuels Growth

The recent funding round was spearheaded by Sapphire Ventures, with participation from StepStone Group and existing investors Volition Capital and Horizon Capital. This substantial investment follows a period of self-reliance for Creatio, having previously operated for several years without external funding.

Cash Flow Positive and Focused on Innovation

Katherine Kostereva, Creatio’s founder and CEO, emphasizes the company’s financial stability, highlighting their achievement of cash flow break-even status and a reputation for efficient capital utilization. “Creatio’s core low-code automation platform empowers users to streamline workflows with agility,” explained Kostereva in an interview. “We’re thrilled to have the continued support of our partner investors, while retaining strategic control within the founding team.”

Investing in the Future of Automation

Creatio plans to leverage the new capital to accelerate product development. A key focus area will be the integration of generative artificial intelligence (AI) to enhance automation capabilities in marketing and sales processes.

Standing Out in a Crowded Market

The low-code and no-code software sector witnessed a period of intense investment activity in 2021, followed by a recent cooling down. However, Creatio distinguishes itself by targeting specific business processes, according to Rajeev Dham, managing director at Sapphire Ventures, the lead investor in this round. “Creatio goes beyond being a generic no-code platform,” Dham explained. “They offer a no-code solution with a flexible backend architecture, all while addressing a substantial market opportunity.”

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