Redpoint Ventures leads $12 mln for Raise.me

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Raise.me, a college scholarship platform, has secured $12 million in funding. Redpoint Ventures led the round with participation from GSV Acceleration, Owl Ventures, First Round Capital and SJF Ventures.

PRESS RELEASE

March 29, 2017 – SAN FRANCISCO, CA – Raise.me, a social enterprise focused on expanding access to higher education, today announced a new $12 million round of financing to help more students in the United States achieve their college ambitions. Redpoint Ventures led the round with additional participation from GSV Acceleration, and follow-on investment from Owl Ventures, First Round Capital and SJF Ventures.

Since launching nationally in the fall of 2014, Raise.me has helped students cumulatively earn $1 billion in scholarship dollars from colleges. On Raise.me, colleges offer students incremental awards, called “micro-scholarships” for achievement like getting A’s in courses or participating in an extracurricular activity. Students begin earning micro-scholarships starting in 9th grade, and collect the awards into a total amount that can be used towards tuition if they apply and are accepted to the partner school. This represents a departure from the way that billions in college scholarships are traditionally awarded annually — at the end of students’ high school careers — which is typically too late influence their college decisions.

Raise.me was co-founded by Preston Silverman, George Kirkland, and Dave Schuman in 2012 and launched nationally in 2014. The team comprises individuals that come from a diverse set of backgrounds, including Teach for America, Google, and The White House, and many of whom were first-generation college students.

The company’s innovative micro-scholarship model is grounded in decades of research proving the benefits of increased transparency in financial aid, and the power of continuous feedback loops in improving student outcomes. By directly linking academic and extracurricular achievements to college scholarship dollars, students on Raise.me become more motivated to work hard, a pattern that better prepares them for college and ultimately, their careers. Colleges, in turn, can begin to engage with high school students as early as 9th or 10th grade, leading to more successful recruitment and retention of students through to graduation.

“It’s never been more important for students to obtain some form of higher education, but for many families, it’s also never been more costly,” said Preston Silverman, Co-Founder and CEO at Raise.me. “By providing students with a way to plan for college earlier on in high school, both academically and financially, we’re creating a more transparent, empowering system to help students achieve their college and career ambitions.”

Raise.me’s platform has served over 650,000 high school students in all 50 states, and is being used by 19,000 high school counselors in 1 of every 2 high schools across the country. Colleges using the Raise.me platform comprise a growing group of over 225 schools that include Northeastern, NYU, ASU, Oberlin, Penn State, Georgia Tech and Tulane University, and whom have uniquely demonstrated a commitment to helping students of all backgrounds access scholarship dollars and ensure success in college and beyond.

“Raise.me is meeting a critical unmet need among students and colleges ,” said Chris Moore, Partner at Redpoint Ventures. “Today, students don’t have access to what financial aid dollars are available to them until after they’ve applied and been accepted; meanwhile colleges are spending $9 billion a year on recruiting and enrollment costs to reach these same students. By creating a transparent marketplace for both students and colleges, Raise.me is helping future generations become more successful in college and beyond, building a significant business in the process.”

About Raise.me:
Raise.me launched nationally in the fall of 2014 as a social enterprise focused on expanding access to higher education, especially among low-income and first-generation students. Starting as early as 9th grade, Raise.me enables students to earn scholarships throughout high school as they meet the goals that best prepare them to succeed. Whether that’s getting good grades, volunteering in the community, or joining an extracurricular, on Raise.me students are rewarded by colleges for being motivated, driven and committed to success. Students at 1 out of 2 high schools across America have signed up to earn micro-scholarships from a diverse set of over 225 colleges and universities. Learn more: http://www.raise.me.