Customized skincare business Atolla has closed a $2.5 million seed round led by Lyra Growth Partners.
WHO: Atolla is a direct-to-consumer brand with a patented process to analyze skin to create customized serums that change as skin changes. The company uses a feedback loop that helps to adjust skincare regimens over time with monthly skin analyses done via mobile phone.
Lyra Growth Partners was founded by Charles Chang, the founder of plant-based protein brand Vega, which was sold to Whitewave Foods in 2015 for $550 million. The firm is also invested in men’s personal-care brand Huron and aromatherapy business Vitruvi.
WHY: Meghan Maupin, Atolla CEO and co-founder, said the funding will be put toward hiring senior executives (she specified vice presidents of engineering and marketing), rolling out features, and launching products.
IN THEIR OWN WORDS: “Our business metrics were great. We’ve had a spike because more people are home focused on skincare. Our acquisition costs our down, our conversion rate is up, and we’ve unlocked new channels like TikTok that have helped us,” Maupin told Beauty Independent. “Still, fundraising during COVID was definitely difficult. There are quite a few funds that paused investing, and there are some investors who decided to focus on series A instead of seed. The positive is we built many great relationships we will have in a series A.”
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