Hockeystick raises $600k seed round to solve data collection problem for PE funds

Source: Hockeystick has raised a $600k seed round from US and Canadian investors including LaunchPad Venture Group, BDC Capital, York Angels and Spark Angels.

This is the company’s first outside capital and the majority of investors were customers of the platform.

Funds struggle to get the financial data they need from portfolio companies to get a clear picture of their performance and to deliver reports to LPs. It takes an army of interns and Excel and the result is usually an incomplete picture.

Hockeystick takes data from Excel, Web forms, documents and accounting software like Quickbooks and transforms it into structured data that can be easily used by funds. Over 10,000 private companies have adopted the platform, as well as both debt and equity funds who utilize Hockeystick’s reporting and portfolio analysis tools.

The trend toward better data and greater transparency is in part driven from above, as limited partners are expecting better data and more standardization from GPs . In a recent

Intralinks/Pitchbook survey of GPs , 70% said their reporting needed to improve. This will also apply to companies that use the new Regulation Crowdfunding exemptions to raise capital online: private companies will be required not only to share financial data with investors, but also with regulators.

The company is using the funding to grow its data science team and to add new data integrations to its platform. 

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