Lottie, a London-based digital elderly care platform that connects care seekers to the UK’s care homes at a fair price, announced that it has secured £2.5M funding in the Seed round.
The round was led by early-stage venture capital firm Kindred, along with David Wascha (angel and Zoopla executive) and Caroline Hudack (former Airbnb and Facebook director). Tom Blomfield and Lendable co-founder Victoria van Lennep also reinvested.
The latest funding comes seven months after raising £500,000 from Monzo founder Tom Blomfield. Since its inception, Lottie has raised total funding of £3M at a valuation of £27.5M.
Lottie’s Seed round comes a few days after its American counterpart, A Place for Mom, announced a $175M funding, led by Insight Partners.
The investment will enable Lottie to accelerate its marketplace expansion and care concierge services across the UK. Further, the capital will be used towards building the business’ expert team of local care and technology professionals.
The company’s pre-launch financiers included Tom Blomfield (Founder of Monzo), Victoria van Lennep (Founder of Lendable), Jacob Haddad (Founder of AccuRx), Jamie Bolding (Founder of Jungle Creations), and Dominic McGregor (Founder of Social Chain/Fearless Ventures).
How did it all start?
Chris Donnelly and his healthcare expert brother founded Lottie in July 2021 after being disgruntled by their own experience of finding a care home for their grandfather.
Currently, the UK elderly care sector comprises 12,500 care homes with a combined total of 480,000 registered beds.
Will Donnelly who spent 5 years at CBRE says, “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.
“Most first-time care choices take place following a sudden illness, injury or loss of carer, meaning decisions are often made urgently and under distressing circumstances – an emotional process, which requires real human expertise and support.
Lottie is a free digital healthcare marketplace, helping families minimise the time, stress, and cost of finding quality care homes.
The care homes listed on the platform are handpicked and have been vetted by Lottie’s team of care experts based on their care quality, home culture, and ethical practices.
In the past few months, Lottie has grown its marketplace from 200 properties in London and the South-East of England to over 1,000 quality-focused facilities across England.
To date, the company has helped 1000s of families so far, while their concierge service has assisted over 200 people in later life start a positive new chapter.
Ideal care package
Lottie allows elderly people and their loved ones to design their ideal care package. The platform then distills millions of data points on care homes to help people find the perfect home that meets their needs, wants, and budget.
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 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.”
“Lottie is a unique hybrid of matchmaker, comparison website, and care property specialist. Blending smart technology with human expertise, we hope the platform will become an indispensable ally in helping people make easy informed choices about elderly care.
“The marketplace is just the start of our vision for the later living sector, we see it as a springboard to improve the global sector as a whole: from consumer transparency, technologies inefficiencies and lack of high-quality data insights.”