Anecdotes, a trailblazer in the Governance, Risk Management, and Compliance (GRC) space, has successfully raised $25 million in a Series B funding round, propelling its total funding to $55 million.
The funding, described as “oversubscribed,” was led by Glilot Capital Partners, with contributions from Vertex, DTCP, Red Dot Capital Partners, Vintage Investment Partners, and Shasta Ventures.
In a GRC market that has seen significant traction with VC investments totaling $28.7 billion as of 2021, Anecdotes stands out by streamlining GRC tasks through automated workflows, plugins, and app integrations. The platform, co-founded by Yair Kuznitsov and Roi Amior, originated from their experiences at cybersecurity startup IntSights, where they encountered challenges related to repetitive and time-consuming audits.
The funds raised will be utilized to expand into new markets and double Anecdotes’ current 60-person team in the next 12 to 24 months, according to Yair Kuznitsov, the co-founder, and CEO.
Anecdotes sets itself apart by reinventing enterprise GRC into data-oriented, automated, efficient, and customized processes. The platform automatically collects GRC-related data and logs, known as “artifacts,” from various sources such as public clouds, on-premise data centers, private clouds, and SaaS tools. This data is centralized, allowing users to initiate compliance activities like policy management and user access reviews.
A notable addition to the platform is the AI Toolkit, designed in collaboration with industry-leading experts. The toolkit provides a framework for GRC teams to leverage generative AI tools while ensuring compliance and mitigating risks.
While facing competition from players like VComply and Cypago, as well as larger entities like Certa, Anecdotes asserts its strong position in the market with approximately 100 clients, including industry leaders such as Snowflake, Coinbase, SoFi, Grafana, and Payscale.
Yair Kuznitsov emphasized Anecdotes’ success in finding product-market fit, citing healthy software-as-a-service gross margins and a robust 3x year-over-year growth. The additional capital from this funding round aims to fuel the next growth phase, accelerating global expansion and driving further product innovation.