Lottie secures £2.5m for a new elderly care search platform
A young British business owner who was declared “Britain’s best boss” after he let his staff have the day off on full pay when lockdown restrictions lifted last year has raised £2.5m in seed funding for new elderly care search platform, Lottie, just six months after winning initial backing off Monzo’s Founder to launch it.
Exasperated by their own experience of searching for a care home for their Grandma, entrepreneur Chris Donnelly and healthcare expert brother Will Donnelly, launched Lottie in July 2021 – a free digital healthcare marketplace, helping families minimize the time, stress and cost of finding quality compassionate care homes.
In a round led by early-stage venture capital firm Kindred, the brothers secured investment from angel and Zoopla Executive, David Wascha as well as former Airbnb and Facebook Director, Caroline Hudack. Tom Blomfield and Lendable Co-founder Victoria van Lennep also reinvested.
Raising £3m to date with a £27.5m valuation, Lottie’s fresh injection of capital comes just days after American counterpart, A Place for Mom, announced a $175m funding round, led by Insight Partners, and $1+bn valuation.
After an impressive near-five-fold increase in staff since November 2021 (4 – 22 employees), the social impact business has grown its marketplace from 200 properties in London and the South-East of England to over 1,000 facilities across England.
The new funding will be used to supercharge Lottie’s marketplace expansion and care concierge services across the UK, as well as extending the company’s offering to the independent living sector – a market forecast to grow due to the rising demand for age-fit accommodation from the 55+ population.
The investment will also go towards building the business’ team of local care and technology professionals in addition to developing the technology to make it even simpler for new care seekers to navigate the website.
Lottie Co-founder and self-confessed “Care nerd and property expert” Will Donnelly spent five years at CBRE, where he advised on £2.5bn of healthcare transactions while supporting the NHS during COVID-19.
He said: “Finding a high-quality care home is complex, time-consuming and incredibly stressful, with nearly half of families regretting their decision.
“Chris and I believe there is a different way. We’ve flipped the industry dynamics to challenge the market’s long-standing status quo. Lottie was built first and foremost to champion and support care seekers, not other key sector stakeholders.”
“Our customers don’t want to wade through 1,000s of under-par care homes, or see overpriced facilities out of their budget.” continues Co-CEO and Forbes Europe’s 30 under 30 alumni, Chris Donnelly.
“Lottie uses its collective power and market intelligence to secure exclusive offers with our care home partners, which have been helping families to save an average of £5000 in fees.”