Torch raises $40 million in Series C funding to help teams make better decisions
Over the past two years, there’s been a mass exodus of workers from the workforce. For example, in the second half of 2021 alone, the Great Resignation has led to over 20 million people quitting their jobs. The number was one of the highest “quit rates” ever recorded since the US government started keeping track two decades ago.
As the Great Resignation continues and more employees rethink their career goals and paths, attracting and retaining strong talent becomes even more mission-critical for the survival of every business. That’s why it’s more important than ever for organizations to harness the power of trusted relationships to fuel employee growth and success. That’s why one startup is on a mission to help company leaders meet the individual learning needs of every employee.
Enter Torch, a San Francisco-based tech startup that’s building a platform that highlights a leader’s interpersonal blind spots, and then creates action plans that help them get better. “Torch’s mission has always been to use the power of trusted relationships to fuel professional development through one-on-one coaching, mentoring, and group learning,” Torch CEO Cameron Yarbrough said.
Today, Torch announced it has secured a $40 million Series C financing round, led by 137 Ventures. The round also includes significant follow-on from Initialized Capital, along with full participation from existing investors including Norwest Venture Partners and Obvious Ventures.
Torch CEO Cameron Yarbrough said the new capital infusion will help the company to meet accelerating market demand by expanding our product capabilities, ensuring strong partnerships with our customers, and scaling our operations.
The announcement comes just a little over a year after Torch raised $25 million in Series B funding led by Obvious Ventures. Since raising its Series B round, Torch has more than doubled its revenue and employee count year-on-year. The company has also grown its customer base by signing on new customers including Zynga, and has seen expanded business from existing customers like Zendesk, as it extends its solutions to a growing number of enterprise businesses.
Founded by CEO Cameron Yarbrough and Keegan Walden, Torch is a provider of the People Development Platform that fuels growth through the power of trusted relationships. By combining coaching, mentoring, and collaborative learning, Torch helps you design, manage, and measure programs that drive the success of your people—and your organization. Torch is used by brands including Zendesk, Reddit, and others.
As the company has scaled, Torch has continued to innovate and expand its product features to create a holistic people development platform, including through its merger with Everwise which added mentoring and an extensive mentor network to the platform’s learning and development product capabilities. In the last six months, Torch has also built out its executive team and Board of Directors with leaders from companies like Glint and Glassdoor.
Employees are increasingly seeking out opportunities to learn and grow within their organization, and employers that are able to meet this demand will succeed. In fact, large enterprises and existing customers like Reddit and Zendesk are turning to Torch to help them retain and grow talent, and build more inclusive workplaces through leadership development coaching.
“Employee retention is continually top of mind for employers as the world of work changes and people rethink what kind of companies they want to work for,” said Garry Tan, founder and managing partner of Initialized. “Torch’s platform allows companies to invest in their people at a scale and quality that was never before possible. That’s why I’m excited to continue to double down on our investment. I’ve known Cameron since he was my professional coach and trust in his vision and ability to scale this company, as demand for better leadership is clearly upon us.”