CozyKin Secures $6 Million Series A Funding to Expand Innovative Shared Nanny Childcare Platform

Recently, VCBeat (WeChat official account: vcbeat) learned that CozyKin, the largest childcare service company in Massachusetts, USA, plans to offer nanny-sharing services. CozyKin recently announced the completion of a $6 million Series A financing round, led by Bessemer Venture Partners, with participation from NextView Ventures and Primary Venture Partners. Bessemer Venture Partners was also among the first investors in three startups: Bright Horizons, Pinterest, and Blue Apron.

This funding will be used to expand CozyKin’s headquarters, recruit staff, and establish strategic partnerships with key enterprises. Currently headquartered in Boston, Massachusetts, the company plans to expand its headquarters to New York City in the future.

“CozyKin co-founder Jeremy Au said, ‘We are creating more childcare options for parents of our generation.’”

As a pilot for its new business, CozyKin selected two families and provided them with a trained shared nanny. CozyKin handles the nanny’s commuting, payroll, and work management, freeing the parents in both households from any hiring concerns. Through CozyKin’s nanny-sharing service, the children from the two families also have the opportunity to meet and interact with each other.

“CozyKin is a strong childcare option for first-time parents. Its nanny-sharing service not only lowers the cost of daycare but also helps children develop social skills,” said Kent Bennett, Partner at Bessemer Venture Partners. “We are delighted to join CozyKin’s management team. The services provided by CozyKin create more childcare choices for more families.”

In 2017, CozyKin won the People’s Choice Award at the Boston Startup Accelerator program for helping employers provide viable childcare services to their employees.

Tatyana Gubin, co-founder of CozyKin, stated, “Parents need to work to provide a better life for their families, and we have an obligation to deliver high-quality childcare services that reassure parents their children are well cared for.”

According to NPR data, the average cost of childcare services exceeds $1,000. Furthermore, due to strong demand for childcare, parents must wait to be placed on waiting lists. CozyKin’s nanny-sharing service not only helps new parents reduce childcare expenses but also shortens waiting times. New parents can access the service by booking just four weeks in advance.

Rob Go, Co-founder and Partner at NextView Ventures, stated, “NextView focuses on investing in companies that make people’s daily lives more convenient. As parents, we recognize the substantial societal demand for high-quality childcare services. As investors, we firmly believe that the services provided by CozyKin help children develop social skills, support new parents in returning to the workforce, and offer nannies competitive compensation and benefits.”

“CozyKin’s childcare service represents a novel approach that enhances the work experience for both parents and nannies,” said Benjamin Sun, Co-Founder and General Partner at Primary Venture Partners. “As a fund with a strategic investment focus on New York City, we are delighted to leverage our expertise and resources to support these exceptional entrepreneurs who have brought this much-needed childcare service to New York.”

Bessemer Venture Partners is one of the world’s most experienced venture capital firms, having helped more than 120 companies complete their initial public offerings (IPOs), including Pinterest, Shopify, Yelp, LinkedIn, Skype, PagerDuty, LifeLock, Twilio, SendGrid, DocuSign, Wix, and MindBody.

NextView Ventures focuses on investing in companies that make people’s daily lives more convenient. NextView Ventures has invested in dozens of innovative technology companies, including Alignable, Grove Collaborative, and MealPal.

Primary Venture Partners is a venture capital firm focused on seed-stage investments, with successful investments in companies including Jet.com, Ticketfly, TxVia, and Coupang.

(Compiled by Zhang Yujie)