Company raises $20M Series A investment from Volition Capital to solidify position as the preferred payout solution for the expected $480B annual global creator economy
CHICAGO, Nov. 27, 2023 /PRNewswire-PRWeb/ — Mozaic.io, the global payments platform for co-creators, today announced it closed a $20M Series A funding round from Boston-based growth equity firm, Volition Capital. The investment follows significant company momentum fueled by rapid adoption of the only platform that enables creative professionals to automatically send and receive split payments with collaborators anywhere across the globe.
The creator economy’s total addressable market is expected to reach an estimated $480B by 2027. The proliferation of content on streaming services and social platforms that accelerated during the COVID-19 pandemic continues. Today, hundreds of millions of creators and influencers collaborate on music, podcasts, social content, video gaming, eCommerce, books, and more. From major music distributors to individual creative professionals, there is a massive market need for an easy and transparent way to pay—and get paid—for projects.
While the payment app ecosystem is mature with PayPal, CashApp, Venmo, Zelle, and others, there’s been no solution for creative teams to automatically split income with all collaborators in local currency. Mozaic fills this market gap with the only global split payments API. Mozaic started with a focus on payouts for music distributors, artists and collaborators. Today the company serves the entire peer-to-peer creator economy with a goal to expand further into the gig and freelance economy.
Mozaic differentiates itself with its high-level API that allows users to easily implement splits (ownership) and automated payments for collaborators. The API enables users to define smart agreements to split payouts and send cross-border mass payouts. The alternative for creators is to manually capture splits and pay their team out via PayPal, CashApp or other platforms. Mozaic also leverages proprietary AI to help creators find new collaborators, manage risk, and garner financial insights across sales and income.
“The Creator Economy is a global economy and for it to reach its full potential, compensation has to be as seamless and as natural as collaboration,” said CEO, Marcus Cobb. “There is massive demand for a solution that enables simple and transparent payments. We estimate 7 out of 10 collaborative payments are painfully delayed or distressed. So, you can imagine what might happen if that pain turns into joy at-scale. It’s a multi-billion-dollar opportunity.”
The investment from Volition Capital brings the total raised to $27.1M with existing investment from Rise of the Rest, Maverick Nashville and music industry executive Joe Galante. With the investment, Mozaic will focus on new product development, including its new self-serve offering that enables creators to manage everything and connect to other platforms such as YouTube, Twitch, Shopify and others so all of their payments, collaborations and sales data are in one place. Mozaic will also expand its sales and product teams with a goal of doubling its headcount (currently 24) by the end of 2023.
“There’s been a significant secular shift in the content people consume, which has increasingly moved from traditional entertainment media to social-mobile,” said Larry Cheng, Volition Capital Managing Partner. “People creating and making money with podcasts, music, gaming, ecommerce and other projects often collaborate with globally distributed teams. Mozaic’s platform solves the biggest challenge creators face with shared revenue and is securely positioned as the go-to solution for automating multi-party payments. Mozaic’s dynamic and experienced leadership team coupled with a solid first-mover advantage make this an exciting partnership.”
Mozaic was co-founded by CEO Marcus Cobb and SVP of Growth Rachel Knepp. Marcus is a FinTech architect and serial entrepreneur. He was hired by Microsoft at the age of 19 to architect FinTech solutions for Fortune 50 brands and eventually went on to grow multiple startups to successful exits (more than $800M in exits). Marcus was part of the 2022 North American Google for Startups Accelerator: Black Founders cohort. Rachel founded and grew a digital marketing and e-commerce boutique firm that was acquired due to its outlier growth and bigbox clients like The Limited. Rachel was also the overall winner of Visa’s Global Everywhere Initiative 2022: LGBTQ+ Special Edition.
Mozaic is the premier payment platform for the world’s co-creation economy. The company provides the only global split payout API that allows music distributors and any creator on any platform to easily add their splits, tag collaborators, and automate multi-party payments for revenues and royalties in a matter of minutes. Mozaic’s team of FinTech and payments experts and developers help put more time and money into the lives of creators. For more information, visit https://mozaic.io/.
About Volition Capital
Volition Capital is a Boston-based growth equity firm that principally invests in high-growth, founder-owned companies across the software, Internet, and consumer sectors. Founded in 2010, Volition has over $1.7 billion in assets under management and has invested in and/or provided sub-advisory advice to more than 40 companies in the United States and Canada. The firm selectively partners with founders to help them achieve their fullest aspirations for their businesses. For more information, visit http://www.volitioncapital.com or follow us on Twitter @volitioncapital.