Classtime Secures Growth Capital to Continue a Path of Sustainable Expansion
As a B2B SaaS company, Classtime now supports over 350,000 educators and serves more than 1,500 schools and institutions worldwide.
Snapshot
Founded in 2016, Classtime was created to address inefficiencies in teaching and learning that prevent education from reaching its full potential, driven by the teams' vision of developing learners into critical thinkers. As a B2B SaaS company, Classtime now supports over 350,000 teachers and over 30 million students, and serves more than 1,500 schools and institutions worldwide, proving an increasing market need that was fulfilled with their product, service and business model.
Classtime’s platform allows teachers to easily manage tests and assessments, increasing student engagement, providing immediate updates on learning progress and saving time on grading. School directors, teachers, and students now have insights into the end-to-end learning process, tests and homework, and valuable analytics, providing a whole new educational experience and driving learning outcomes.
The leadership team includes Valentin Ruest, the US CEO; Micha Rise, the CTO; and Jan Rihak, the European CEO, supported by a dedicated team of 30+ members across Europe and the US. Their combined entrepreneurial experience and passion for education have established Classtime as a trusted platform for learning and feedback.
Executive Summary
After a period of strong growth and market expansion, Classtime secured non-dilutive finance to seize its growth potential.
The Challenge
Over the last couple of years, Classtime has experienced remarkable growth; it has expanded its services globally, securing customers that include several cantonal schools in Zurich and Switzerland, large regional schools in Germany, and major district schools across the US. The platform has become a vital tool for teachers by simplifying the assessment process providing immediate visibility into student progress and facilitating the design of engaging lessons that make learning enjoyable and effective.
Backed by renowned investors such as Swiss Post Ventures and SuperCharger Ventures, Classtime was experiencing positive client feedback in the context of increasing demand for educational technology. This led to Classtime seeking more efficient funding to manage an increased number of larger deals, continue to grow in Europe, and onboard newly acquired customers. The team has been operating at full capacity, making it essential to add resources to keep pace with rising demand.
The Solution
After the initial interactions with Classtime’s team, it became clear that its product was top-notch. Unlike many startups today, Classtime has embraced a disciplined, pragmatic, and capital-efficient approach to achieving healthy, sustainable growth. This is particularly remarkable in an industry where the attention often falls on misguided metrics of success—such as the size of past funding rounds, inflated valuations that rarely materialize, or the rapid pursuit of unsustainable, unproven growth. Classtime’s focus on building a solid, efficient foundation for long-term success is impressive.
Its clients showed very high satisfaction levels and were expanding the use of Classtime’s solution. “From early on, we were impressed by the product capabilities and the reputable clients from the largest public and private schools. Classtime's clients were renewing the contracts at a very high renewal rate and deploying the solution to more and more students and teachers” says Rafael Karamanian, partner at Lendity. Given Classtime’s traction and metrics, the transaction was completed in a short time. “Working together with the team and investors made it a very smooth transaction”. Not only was Classtime able to achieve a lower cost of funding, but also to secure fast funding, mitigating dilution for every shareholder.
“From early on, we were impressed by the product capabilities and the reputable clients from the largest public and private schools. Classtime's clients were renewing the contracts at a very high renewal rate and deploying the solution to more and more students and teachers”
Rafael Karamanian, Partner at Lendity
Conclusion
The strategic move to diversify its funding sources enables Classtime to achieve long-term profitability and sustain its growth by leveraging efficient capital. As Jan Rihak, CEO of Classtime, expressed, “Obtaining fast and efficient capital is key for Classtime - this way we can serve more teachers faster and multiply our impact with kids. The Lendity team is super professional and also helped us uncover gaps in our operations - something that we can act upon and grow as a company, beyond just having access to more capital. We are extremely looking forward to a continued collaboration and a long-term relationship."
"Obtaining fast and efficient capital is key for Classtime - this way we can serve more teachers faster and multiply our impact with kids"
Jan Rihak, founder and CEO Europe of Classtime
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