Rising Team Revenue, Valuation & Funding (2024)

Rising Team generated an estimated $2.5M in annual revenue in 2024.

Rising Team reached approximately $1.2 million in annualized revenue as of September 2022, having started generating revenue only in Q4 2021. Revenue grew five times between Q1 and Q2 2022, and Dulski told Latka she expected a further three times increase between Q2 and Q3 2022.

Rising Team had 55 customer logos as of September 2022, including Bank of Hawaii and other multi-thousand-person organizations. The average contract value across the customer base was approximately $5,000, reflecting a mix of individual managers paying $99 per month per team and larger enterprise contracts in the hundreds of thousands of dollars annually.

Pricing for individual teams is $99 per month, covering a manager plus up to 10 people. For partial-organization deployments, pricing is based on number of teams with volume discounts for larger commitments and upfront payment. For full-organization deployments, the company moves to per-employee-per-month pricing ranging from $6 to $10 per employee per month, with unlimited teams included. A useful benchmark Dulski offered is approximately $100 per person per year for full-org customers.

Dulski said the company was converting 60 percent of demos to deals at some level, typically starting with a pilot of around 10 teams before expanding to 100 teams and eventually a full-organization rollout. Typical full-organization customers range from 2,500 to 5,000 employees. The company also serves divisions of larger enterprises, such as a 2,000-person division within a 50,000-person company, which Dulski identified as a significant expansion opportunity.

Rising Team generates revenue through annual and monthly subscriptions. The model has two entry points: a bottom-up motion where individual managers subscribe at $99 per month per team, and a top-down enterprise motion where heads of people or division leaders purchase organization-wide licenses priced on a per-employee-per-month basis.

The company reported a net dollar retention rate of 145 percent as of September 2022, driven by expansion from pilot deployments to broader organizational rollouts. Dulski estimated that the existing 55 customers, with no new logos added, could generate $1.5 million to $2 million in additional revenue over the following 12 months and $15 million to $20 million over three years through expansion alone. A three-person sales and customer success team, including Dulski herself, manages both new deals and expansion.

The company was not profitable as of the interview date, with a burn rate of approximately $100,000 per month. Dulski said profitability was not far off and that a few additional enterprise deals would close the gap. A key product outcome supporting expansion is that after just three Rising Team sessions, 85 percent of the core engagement scores the company tracks move in a statistically significant direction, which Dulski cited as the primary driver of customers choosing to expand their deployments. Gross margin and CAC were not discussed in the interview.

Rising Team had 11 full-time employees and approximately 16 people including part-time contributors as of September 2022. Of the full-time team, 5 were engineers and approximately 2.5 were designers, meaning more than half the team was focused on product development. A three-person sales and customer success function, which included Dulski, handled both new business and account expansion.