Summary:
Hotglue raised $4 million to enhance its embedded integration platform.
Grew from 5 to 65 customers in just a few years.
Led by 8VC with participation from Y Combinator and others.
40% of clients are AI-focused companies.
All integrations offered are open source.
After a significant growth from five customers to 65, the DC-based software startup Hotglue has successfully raised a $4 million seed round to further enhance its operations and technology. This software-as-a-service company specializes in an embedded integration platform that assists developers in connecting various applications. Co-founder and chief revenue officer David Molot emphasized that their tool is designed to scale with companies as their needs evolve.
Hotglue, a proud Y Combinator alum, had previously secured $1.5 million in pre-seed funding back in 2021, a time characterized by a different economic atmosphere. Molot noted that the current fundraising round was led by 8VC, with contributions from Wayfinder Ventures, Correlation Ventures, and TDF Ventures.
Founded at the end of 2020, Hotglue has expanded its clientele across the US, Europe, India, and South America, focusing primarily on sectors like customer relationship management, accounting, and e-commerce tools. Notably, 40% of their customers are AI-focused companies, leveraging Hotglue’s platform for supporting various AI integrations. Molot clarified that while Hotglue is not an AI company, it plays a critical role in facilitating the operations of numerous AI firms.
As the startup continues to grow, Molot recognizes the need for additional funding to accelerate their go-to-market strategy. He highlighted the uniqueness of Hotglue's offerings, stating that their integrations are all open source, allowing customers the flexibility to create custom solutions.
Currently, the team consists of nine employees, primarily engineers, and they are in the process of hiring a sales director and a head of marketing to strengthen their leadership. Molot expressed a commitment to growing the DC tech scene, stating, "We love DC as a city and really want to grow DC tech in general."
Both Molot and co-founder Hassan Syyid have personal ties to the region, having met at the University of Maryland, College Park before embarking on their entrepreneurial journey. Reflecting on their experiences, Molot shared his excitement about the startup's trajectory, noting, "This is a place where you can grow a company. We’re so happy that so far it seems to be working out, and that we found a problem people really want solved."
Rendering of Hotglue’s platform dashboard, showcasing data movement between applications.
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