An Australian startup focusing on improving aged care has raised $450,000 in funding through investing service CapitalPitch.
Melbourne-based Care Guidance was launched at the start of 2015, and provides a platform matching aged care providers with those who need care.
The company handles all the paperwork and details, and determines the correct care for users across all available options.
The company has raised $450,000 already across two pre-seed funding rounds in the past year.
Care Guidance’s funding goal was $400,000, and after reaching that the company announced they would be accepting oversubscriptions for another two weeks.
Care Guidance CEO Lydia Paterson says the investment will help the company scale and provide its services to even more people that need it.
“We’ve always been focused on delivering the best outcome for someone’s mum and dad,” Paterson tells StartupSmart.
“Our technology allows us to get a picture of what’s available according to different parameters, we really blend tech with service.”
After a year of operation, Paterson says the company has experienced fantastic growth across Victoria.
“There are plenty of people who want to pay for an expert,” she says.
Care Guidance received it’s funding through CapitalPitch, which Paterson found was the best for expressing the company’s vision.
“As a startup, you want to be focused on building your business, that’s your passion,” Paterson says.
“CapitalPitch was able to assist with getting ‘investor ready’, and helped us to establish a framework around our business and work through our ideas.”
Paterson says that she had a specific set of requirements when looking for investors, not wanting someone who “just wanted an app”.
“We looked for investors aligned with our vision, we wanted them to want both social and economic returns,” she says.
“I realised we’re a personalised service and not all investors are going for that.”
Paterson says the funding round values Care Guidance at $3 million.
Paterson says that getting the pre-seed funding was “a bit lucky”, as the company raised it through its own networks.
Looking forward, Paterson will be using the funding to build on her company’s model, and further develop the tech side of the service.
“This will allow us to bring in the right team, and do a bit more marketing too,” she says.
For other startups seeking investors, Paterson says that investors that will back your vision are the most important.
“You’ve really got to back yourself and believe in yourself – just keep pushing,” she says.
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Dominic Powell is a journalist at SmartCompany and a tech and music geek. When he’s not writing, you can find him reading or browsing record shops.
