Read the pitch deck the cloud-data-storage firm LucidLink used to win over investors for a $20 million Series B led by Headline
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- LucidLink, a cloud-data-storage startup, raised a $20 million Series B round led by Headline.
- LucidLink‘s platform lets users stream data from the cloud for projects instead of downloading it.
- Its cofounder Peter Thompson told Insider how its pitch deck helped it raise the latest round.
LucidLink, a cloud-file-hosting startup that wants to eliminate the need to download large files and projects, announced on Monday that it raised a $20 million Series B round.
It did so by winning over investors on the technical level, Peter Thompson, its cofounder and CEO, told Insider. Headline led LucidLink’s Series B round, with participation from Top Tier Capital Partners, Baseline Ventures, and BrightCap Ventures.
Thompson and his cofounder, George Dochev, started the company in 2016 with backgrounds in file-storage software. Since then, LucidLink has raised $40 million between two rounds, which included investments from Adobe and Bain Capital. LucidLink declined to share its recent valuation.
Cloud file services have taken off during the pandemic. The Seattle cloud startup Qumulo raised $125 million at the start of 2020, while the cloud-file-storage companies Backblaze and DigitalOcean have gone public.
While Google Drive, Dropbox, and Box also offer cloud storage, LucidLink touts its ability to let users stream in data from the cloud instead of having to download large projects, Thompson said.
“Some people have said it’s like Dropbox on steroids,” Thompson said.
Thompson said the service has become popular among creative industries that deal with large assets and video files across scattered teams. Its clients include the film-production company Warner Bros., the broadcast department of ViacomCBS, and the advertising agency TBWA.
Thompson said LucidLink became so popular within the creative industries that it’s even poached employees from them, adding that hiring from professions like video editing and marketing helped it improve the product.
“They were able to help us understand the language of the customer and what are the problems they face on a daily basis,” Thompson said.
With that in-house knowledge, Thompson and his team were able to communicate to investors the value of their product and lay out how it could grow with more investment. Thompson said that with those funds the startup would be able to add support roles in all departments to ramp up growth and expansion.
Having demonstrative results and a product that works was also key to a successful pitch, Thompson said.
“As much as we can let the product speak for itself, we know that we’re going to be winning the game,” he said.