Nashville-Based Soundstripe Raises $4 Million Series A Financing to Disrupt Music Licensing for Video
Music production startup Soundstripe has closed a $4M Series A round of financing. TechCXO Nashville Managing Partner Viraj Parikh has supported Soundstripe as their outsourced CFO since December 2017. Travis Terrell, Co-Founder & Co-CEO Soundstripe, speaks to Viraj’s contributions at Soundstripe below:
[Below is the press release issued by Soundstripe]
Viraj has been vital to our organization as we have grown from a small bootstrapped startup to a venture-backed, global operation. He has helped us gain a deeper understanding of our business inside and out, keeping our eyes on the metrics and strategies that matter, as well as introducing us to his business network, which has helped Soundstripe gain several important business partners.
Nashville, TN, May 13, 2019 – Tech-enabled production music startup Soundstripe this week closed its $4 million Series A financing, which was led by Vocap Investment Partners, a leading venture capital firm focused on Series A stage technology companies. Soundstripe has quickly attracted tens of thousands of business customers by offering the most robust and cost-efficient solutions for royalty-free music. The company’s innovation lies with its supply chain for original music. Producing, owning, and distributing its music library directly to filmmakers allows for consistent quality music content and a focus on innovative user experience for the exploding video creator market. With an avid and loyal creator community, Soundstripe has seen triple digit year-over-year growth for the past three years.
The investment will allow Soundstripe to continue expanding its presence in the production music space, where its unique subscription model has resulted in over 2 million “micro-licenses” being issued in over 130 countries since its inception in 2016. The funding will also enable the company to invest further in its original content, expand its product offerings, and enhance its enterprise solution to the growing list of marquee clients.
Soundstripe is built on the mission “keep creatives creating,” enabling video producers to pay a subscription fee for unlimited, royalty-free usage of the music in Soundstripe’s catalog. These micro-licenses enable filmmakers, YouTubers, advertisers, and anyone creating video content to make and release their videos legally without worrying about complicated contracts, expensive fees, and low-quality music. Licenses cover all uses and remain in effect should a video producer choose to cancel their membership or let it expire.
“This investment will help take Soundstripe to the next level of growth by enabling us to create the world’s best music for video and deliver that to customers in the simplest way possible,” said Travis Terrell, Co-Founder and Co-CEO of Soundstripe. “We can now grow our subscriber base by leaning into proven growth channels, expanding our acquisition of original music content, creating new product and feature expansions, and investing in our personnel and office space.”
“It is amazing what the Soundstripe team has accomplished with only $500k of funding prior to our investment,” said Vinny Olmstead, Managing Director of Vocap Investment Partners. “In just three years, they have disrupted an expanding market by creating a simplified and elegant solution. Their unique approach to producing and owning their music fosters a pricing and licensing advantage that has heeded great success. In addition, their vision for future expansion and product development is exciting to say the least. We are thrilled to partner with this team to go attack this tremendous opportunity.”
For more information on Soundstripe, visit soundstripe.com.
Soundstripe is one of the industry’s fastest growing providers of unlimited, royalty-free music for video, driven by a unique subscription model that lets video producers pay a fee for usage of the music in Soundstripe’s catalog. That music is created by a team of composers, mix engineers, songwriters, producers, and other music industry professionals employed by the company to ensure that all tracks are of the highest quality. Licenses cover all uses and remain in effect should a video producer choose to cancel their membership or let it expire. This approach has led to over 2 million licenses being issued for tens of thousands of customers in over 130 countries since Soundstripe’s inception in 2016. The company is based in Nashville and has been named one of the city’s Top 10 startup cultures. For more information, visit soundstripe.com.
About Vocap Investment Partners
Vocap Investment Partners provides venture capital and operational expertise to rapidly growing technology companies in high potential verticals, including: Enterprise Software, Media and Entertainment, Consumer Internet and Healthcare IT. For more information, visit http://www.vocappartners.com.