Top 10 Startup and Tech Funding News – August 5, 2025

It’s Tuesday, August 5, 2025, and we’re a bit late hitting send today, but we’ve pulled together a sharp edition featuring 10 notable startup and tech funding stories from across the globe. From billion‑dollar health AI platforms to early‑stage plays in cybersecurity, fintech, and construction robotics, today’s rounds show just how diverse investor bets remain.

Funding Highlights

On the bigger end, Ambience Healthcare closed a $243 million Series C, Clay raised $100 million to advance AI‑driven sales automation, and Anaconda secured over $150 million to expand its open‑source AI platform. In fintech, Alaan and OffDeal are using AI to transform corporate spend management and small‑business M&A. Meanwhile, August is bringing legal automation to midsize law firms, Raise Robotics is tackling high‑risk construction tasks, and Qbeast is boosting data lakehouse performance with supercomputing‑born tech.

Investor Activity

Lead investors like CapitalG, Insight Partners, Oak HC/FT, Peak XV Partners, and NEA were active across multiple deals, joined by a16z, Y Combinator, Mubadala Capital, and other notable backers. The spread of capital across seed to late‑stage rounds shows continued confidence in startups delivering measurable efficiency gains and market reach.

Below is the full breakdown of today’s startup and tech funding rounds—complete with investor line‑ups, deal sizes, and stage details.

Here’s the full breakdown. Until tomorrow, have a great evening.

August Raises $7M Seed Round to Bring AI to Midsize Law Firms

August, an AI startup founded by Columbia University alumni, raised $7 million in seed funding to help midsize law firms automate their document-heavy tasks. The New York-based company’s platform uses artificial intelligence to handle routine legal paperwork, freeing up lawyers to focus on higher-value work.

With its new backing, led by NEA and Pear VC, August plans to expand its team and refine its AI-driven legal tools for firms that lack the resources of larger competitors.

Funding Details:

• Startup: August

• Investors: NEA (lead), Pear VC, Gokul Rajaram, Geoff Charles, David Azose, Kevin Zhang

• Amount Raised: $7 million

• Total Raised: $7 million

• Funding Stage: Seed

• Funding Date: August 5, 2025

Alaan Raises $48M in Series A Funding for AI-Powered Spend Management in MENA

Alaan, a Dubai-based fintech startup, secured a $48 million Series A round to grow its AI-driven corporate spend management platform across the Middle East. Founded by former McKinsey consultants, Alaan’s platform helps companies manage expenses and payments, solving issues like low card acceptance and tedious expense reporting in the region.

The investment, led by Peak XV Partners (formerly Sequoia India & SEA) and joined by backers including Y Combinator and 468 Capital, marks one of the largest Series A financings in MENA tech, positioning Alaan to expand its services into new markets.

Funding Details:

• Startup: Alaan

• Investors: Peak XV Partners (lead), Y Combinator, 468 Capital, Pioneer Fund, founders of Tabby & Careem (angels)

• Amount Raised: $48 million

• Total Raised: ~ $50 million (including prior seed)

• Funding Stage: Series A

• Funding Date: August 5, 2025

Ambience Healthcare Raises $243M in Series C Funding for AI Clinical Documentation Platform

Ambience Healthcare, a health tech startup specializing in ambient AI for clinical documentation, has raised $243 million in a Series C funding round to expand its platform for automating medical paperwork. The round was co-led by Oak HC/FT and Andreessen Horowitz (a16z), with participation from notable investors like the OpenAI Startup Fund, Kleiner Perkins, and Optum Ventures.

Ambience’s technology listens to doctor-patient interactions and automatically generates clinical notes and coding, a solution already adopted by major health systems such as the Cleveland Clinic. The new funding elevates Ambience’s total financing to $345 million and values the company at over $1 billion, fueling its growth as a leading AI provider in healthcare.

Funding Details:

• Startup: Ambience Healthcare

• Investors: Oak HC/FT (co-lead), Andreessen Horowitz (co-lead), OpenAI Startup Fund, Kleiner Perkins, Optum Ventures, Town Hall Ventures, Smash Capital

• Amount Raised: $243 million

• Total Raised: $345 million

• Funding Stage: Series C

• Funding Date: July 29, 2025

Blue J Raises $122M in Series D Funding for Generative AI Tax Research Platform

Blue J, a Toronto-based provider of generative AI tax research tools, announced a $122 million Series D financing to scale its platform for tax professionals. The investment was co-led by Oak HC/FT and Sapphire Ventures, with participation from Intrepid Growth Partners and previous backers Ten Coves Capital and CPA.com.

Blue J’s AI system allows accountants and lawyers to get instant answers to complex tax questions by querying a vast database of tax law, reducing research time from hours to minutes. With this new capital coming just seven months after its Series C, Blue J plans to accelerate hiring, product development, and expansion into more markets as a category leader in tax tech.

Funding Details:

• Startup: Blue J

• Investors: Oak HC/FT (co-lead), Sapphire Ventures (co-lead), Intrepid Growth Partners, Ten Coves Capital, CPA.com

• Amount Raised: $122 million

• Total Raised: Not disclosed

• Funding Stage: Series D

• Funding Date: August 4, 2025

Clay Raises $100M in Series C Funding to Advance AI Sales Automation

Clay, a New York-based startup building an AI-powered sales automation platform, has raised $100 million in a Series C round at a $3.1 billion valuation. The funding – led by Alphabet’s growth fund CapitalG – comes just six months after Clay’s previous raise and brings its total funding to $204 million to date.

Clay’s platform automates go-to-market workflows, using AI agents integrated with over 150 data sources to research prospects, personalize outreach, and identify new revenue opportunities at scale. With the fresh capital, Clay aims to further develop its “go-to-market engineering” tools and continue doubling down on its rapid growth in the enterprise sales sector.

Funding Details:

• Startup: Clay

• Investors: CapitalG (lead), Meritech Capital, Sequoia Capital, First Round Capital, BoxGroup, Boldstart Ventures, Sapphire Ventures

• Amount Raised: $100 million

• Total Raised: $204 million

• Funding Stage: Series C

• Funding Date: August 5, 2025

Raise Robotics Raises $7.8M in Seed Funding to Automate Construction Site Tasks

Raise Robotics, a San Francisco-based startup developing robots for construction sites, has raised $7.8 million in seed funding to advance its automated tools for hazardous building tasks. The round was led by MaC Venture Capital with participation from Undivided Ventures, Cybernetix Ventures, Zacua Ventures, and Union Labs.

Co-founded by Conley Oster and Gary Chen, Raise Robotics builds versatile robotic systems that can handle high-risk activities like layout, drilling, and inspections on vertical construction projects. The new funding will support the company’s growth and product development, helping construction firms improve safety and efficiency with robotic assistance.

Funding Details:

• Startup: Raise Robotics

• Investors: MaC Venture Capital (lead), Undivided Ventures, Cybernetix Ventures, Zacua Ventures, Union Labs

• Amount Raised: $7.8 million

• Total Raised: $7.8 million

• Funding Stage: Seed

• Funding Date: August 5, 2025

RunReveal Raises $7M in Seed Funding for AI-Driven Security Data Platform

RunReveal, an Austin-based cybersecurity startup, has raised $7 million in seed funding to grow its AI-driven security data platform. Led by Costanoa Ventures, with participation from Runtime Ventures, Modern Technical Fund, and Okta Ventures, the funding will help RunReveal scale its team and accelerate development of its cloud-native threat detection system.

RunReveal’s platform uses artificial intelligence to unify log data and automate threat investigations, aiming to replace legacy SIEM tools with faster, more autonomous security operations. With AI-powered workflows for alert triage and deep integrations across tools, the startup seeks to streamline how companies detect and respond to cyber threats.

Founded by Evan Johnson (CEO) and Alan Braithwaite, RunReveal set out to simplify how security teams handle logs and telemetry—core tools for threat detection that have grown increasingly costly, complex, and out of reach.

Funding Details:

• Startup: RunReveal

• Investors: Costanoa Ventures (lead), Runtime Ventures, Modern Technical Fund, Okta Ventures

• Amount Raised: $7 million

• Total Raised: $7 million

• Funding Stage: Seed

• Funding Date: August 5, 2025

OffDeal Raises $12M in Series A Funding for AI-Powered Small Business M&A Platform

OffDeal, a New York-based fintech startup offering an AI-native investment banking platform for small business sales, closed a $12 million Series A round to expand its operations. The funding was led by Radical Ventures, with participation from Y Combinator, Rebel Fund, and Centre Street Partners.

OffDeal’s platform uses proprietary AI and years of Wall Street experience to match small business owners with the best potential buyers and streamline the company sale process. By maximizing the pool of qualified buyers and leveraging data-driven insights, OffDeal aims to help founders secure optimal exit deals; the new capital brings its total funding to $17 million to date.

Funding Details:

• Startup: OffDeal

• Investors: Radical Ventures (lead), Y Combinator, Rebel Fund, Centre Street Partners

• Amount Raised: $12 million

• Total Raised: $17 million

• Funding Stage: Series A

• Funding Date: August 5, 2025

Anaconda Secures $150M+ Series C to Expand Open-Source AI Platform

Anaconda, an Austin-based provider of open-source Python tools for data science and AI, secured over $150 million in a Series C round that values the company at about $1.5 billion. The financing was led by Insight Partners with participation from Abu Dhabi’s Mubadala Capital.

Already profitable with over $150 million in annual recurring revenue, Anaconda plans to use the new funds for product development, strategic acquisitions, and international expansion. The capital infusion will help Anaconda evolve its popular Python platform into a comprehensive enterprise AI hub, meeting rising demand from companies building AI applications on open-source software.

Funding Details:

• Startup: Anaconda

• Investors: Insight Partners (lead), Mubadala Capital

• Amount Raised: $150+ million

• Total Raised: ~ $200 million

• Funding Stage: Series C

• Funding Date: July 31, 2025

Qbeast Raises $7.6M in Seed Funding to Boost Data Lakehouse Performance

Qbeast, a data infrastructure startup born out of the Barcelona Supercomputing Center, raised $7.6 million in seed funding to optimize analytics on open data lakehouse platforms. The round was led by Peak XV’s Surge accelerator (Sequoia India’s program) with participation from HWK Tech Investment and France’s Elaia Partners.

Now based in Bellevue, Washington and helmed by former AWS engineer Srikanth Satya, Qbeast has built an indexing technology that can speed up big data queries by 2–6× while cutting compute costs by as much as 70%. With the new seed capital, Qbeast will expand its team and broaden support for more analytics use cases as it brings its high-performance data tooling to market.

Funding Details:

• Startup: Qbeast

• Investors: Peak XV Surge (lead), HWK Tech Investment, Elaia Partners

• Amount Raised: $7.6 million

• Total Raised: $7.6 million

• Funding Stage: Seed

• Funding Date: August 4, 2025

Tech Funding Summary Table