The Baltimore software development employment firm Catalyte kicked off 2020 with a multimillion dollar funding round, according to filings submitted to the US Securities and Exchange Commission. According to the documents, the Catalyte’s latest funding round ended with it receiving $4m in investments.
Catalyte is a tech firm that focuses on bolstering the software development workforce, and recently ended its latest funding round late in January 2020. The round, which lasted for 7 months, managed to raise the company $14.7m in new debt financing via two transactions. These transactions included several big names and companies according to PitchBook, including Tinder’s co-founder, Justin Mateen.
Notably, Catalyte has a histoty of attracting big names to its investment rounds, like the Revolution Fund, the brainchild of AOL co-founder Steve Case, among others. The company’s debt and equity capital funding as of January 2020 has totaled to more than $56m.
Representatives from the company made no statement outlining how they’d utilize the new funds.
Catalyte utilizes a novel workforce development model, one designed and aimed at bolstering the US’s workforce of properly trained software developers. The model uses a combination of analytics and artificial intelligence to spot prospective software developers via an assessment test that sees how candidates think about problems and how fast they can learn. Those who pass Catalyte’s test are then offered the chance to undertake a paid, 20-week computer science training course, which will then be followed with 2 years of work as a Catalye apprentice developer.
Catalyte CEO Jacob Hsu stated that their goal in creating their model is to allow easier access to potentially lucrative tech jobs to people who don’t really have any experience in the tech industry. Notably, the company’s recruits include in its ranks artists, truck drivers, and even military vets. Close to half of the company’s recruited developers lack a college degree, with more than a quarter being women and minorities.
The Baltimore firm has been growing rapidly, expanding past the city’s borders in the past few years. The company’s headquarters is in the Otterbein neighborhood, with developer training sites in Chicago, Denver, and Portland, with plans to expand to additional locations in the Midwestern and Southwestern US.