Zen Educate, an online marketplace connecting schools with substitute teachers and teaching assistants, has closed a record-breaking $37 million Series B funding round. This investment positions Zen Educate as a major player in transforming the educational staffing sector.
Slava Kremerman, Zen Educate’s co-founder and CEO, emphasised the company’s mission to help schools address staffing challenges and achieve cost savings. He outlined Zen Educate’s goal of saving the education system over $100 million annually through their “fairer, more efficient recruitment model.” Kremerman also highlighted the company’s plans to expand its reach across the US and UK.
Earlier this month, we also reported about an Italian edtech Futura that scored €14M funding for its AI-powered virtual tutor.
This is the largest EdTech round in Europe
The funding round was led by Round2 Capital, a European growth investment firm. Existing investors, including Adjuvo, Brighteye Ventures, FJ Labs, and Ascension Ventures, participated alongside prominent angel investors like Simon Rogerson, founder and CEO of Octopus. This significant investment marks the largest funding round in European educational technology (EdTech) for 2024.
Christian Czernich, co-founder and CEO of Round2 Capital, applauded Zen Educate’s success in tackling a significant challenge faced by educational institutions. He lauded the team’s deep understanding of the EdTech landscape and their remarkable growth, nearly fivefold over the last two years.”
Expansion plans and new software development
The funding will fuel Zen Educate’s rapid expansion in the US and UK markets. The company aims to solidify its position as the leading provider of temporary educators while launching new Software-as-a-Service (SaaS) products for school administration tasks like credentialing, compliance, and absence management.
What problem is the startup solving
Schools and nurseries worldwide grapple with the challenge of filling temporary staffing gaps due to factors like teacher absences. Traditional methods often involve expensive recruitment agencies, outdated technology, and inefficient matching processes. These inefficiencies lead to wasted resources and can negatively impact educational quality.
Zen Educate offers a modern, algorithm-based solution by directly connecting schools with qualified teachers. The platform allows teachers and schools to create profiles and match based on proximity, skills, and experience. This approach results in faster, more accurate matches, reducing hiring costs for schools and allowing them to allocate resources more effectively.
Over the past year, educators working through Zen Educate have delivered millions of teaching hours, saving the education system over $25 million in agency fees.
Strategic acquisitions and brand partnership
Zen Educate has further solidified its position through strategic acquisitions. The company acquired Opus Education in February 2023 and recently acquired Aquinas Education, co-owned by former footballer and TV presenter Jermaine Jenas. Jenas will now serve as a brand ambassador for Zen Educate.
Jenas expressed his enthusiasm for Zen Educate’s “transformative impact” and the platform’s simplicity in eliminating unnecessary costs. He emphasised Zen Educate’s commitment to prioritising quality education, investing in better teacher pay, and focusing on students’ needs.
Zen Educate currently operates in the UK and the US, with plans to broaden its presence across the US in the coming years. Through strategic acquisitions and platform expansion, the company aims to consolidate the fragmented educational staffing market and transform the sector globally.
What we think about the startup
Zen Educate’s record-breaking funding round and strategic growth plans position the company as a major force in educational staffing. Their technology-driven approach to connecting schools and teachers offers a cost-effective and efficient solution, potentially improving educational quality while saving schools valuable resources.
As Zen Educate expands its reach and continues to develop innovative SaaS products, it will be interesting to see how they reshape the educational staffing landscape on a global scale.
