Illustration by Ian Hurley
What Are LA’s Hottest Startups of 2022? See Who VCs Picked in dot.LA’s Annual Survey
In Los Angeles—like the startup environment at large—venture funding and valuations skyrocketed in 2021, even as the coronavirus pandemic continued to surge and supply chain issues rattled the economy. The result was a startup ecosystem that continued to build on its momentum, with no shortage of companies raising private capital at billion-dollar-plus unicorn valuations.
In order to gauge the local startup scene and who’s leading the proverbial pack, we asked more than 30 leading L.A.-based investors for their take on the hottest firms in the region. They responded with more than two dozen venture-backed companies; three startups, in particular, rose above the rest as repeat nominees, while we've organized the rest by their amount of capital raised as of January, according to data from PitchBook. (We also asked VCs not to pick any of their own portfolio companies, and vetted the list to ensure they stuck to that rule.)
Without further ado, here are the 26 L.A. startups that VCs have their eyes on in 2022.
1. Whatnot ($225.4 million raised)
Whatnot was the name most often on the minds of L.A. venture investors—understandably, given its prolific fundraising year. Whatnot raised some $220 million across three separate funding rounds in 2021, on the way to a $1.5 billion valuation.
The Marina del Rey-based livestream shopping platform was founded by former GOAT product manager Logan Head and ex-Googler Grant LaFontaine. The startup made its name by providing a live auction platform for buying and selling collectables like rare Pokémon cards, and has since expanded into sports memorabilia, sneakers and apparel.
2. Boulevard ($40.3 million raised)
Boulevard’s backers include Santa Monica-based early-stage VC firm Bonfire Ventures, which focuses on B2B software startups. The Downtown-based company fits nicely within that thesis; Boulevard builds booking and payment software for salons and spas. The firm has worked with prominent brands such as Toni & Guy and HeyDay.
3. GOAT ($492.7 million)
GOAT launched in 2015 as a marketplace to help sneakerheads authenticate used Air Jordans and other collectible shoes. It has since grown at a prolific rate, expanding into apparel and accessories and exceeding $2 billion in merchandise sales in 2020. The startup sealed a $195 million funding round last summer that more than doubled its valuation, to $3.7 billion.
The Best of the Rest
VideoAmp ($578.6 raised)
Nielsen competitor VideoAmp gathers data on who's watching what across streaming services, traditional TV and social apps like YouTube. The company positions itself as an alternative to so-called "legacy" systems like Nielsen, which it says are "fragmented, riddled with complexity and inaccurate." In addition to venture funding, its total funding figure includes more than $165 million in debt financing.
Mythical Games ($269.4 million raised)
Seizing on the NFT craze, Mythical Games is building a platform that powers the growing realm of “play-to-earn games.” Backed by NBA legend Michael Jordan and Andreessen Horowitz, the Sherman Oaks-based startup’s partners include game publishers Abstraction, Creative Mobile and CCG Lab.
FloQast ($202 million raised)
FloQast founder Michael Whitmire says he got a “no” from more than 100 investors in the process of raising a seed round. Today, the accounting software company is considered a unicorn.
Nacelle ($70.8 million raised)
Nacelle produces docuseries, books, comedy albums and podcasts. The media company’s efforts include the Netflix travel series “Down To Earth with Zac Efron.”
Wave ($66 million raised)
A platform for virtual concerts, Wave has hosted performances by artists including Justin Bieber, Tinashe and The Weeknd. The company says it has raised $66 million to date from the likes of Warner Music and Tencent.
Papaya ($65.2 million raised)
Sherman Oaks-based Papaya looks to make it easier to pay “any” bill—from hospital bills to parking tickets—via its mobile app.
LeaseLock ($63.2 million raised)
Based in Marina del Rey, LeaseLock says it’s on a mission to eliminate security deposits for apartment renters.
Emotive ($58.1 million raised)
Emotive sells text message-focused marketing tools to ecommerce firms like underwear brand Parade and men's grooming company Beardbrand.
Dray Alliance ($55 million raised)
Based in Long Beach, Dray says its mission is to “modernize the logistics and trucking industry.” Its partners include Danish shipping company Maersk and toy maker Mattel.
Coco ($43 million raised)
Coco makes small pink robots on wheels (you may have seen them around town) that deliver food via a remote pilot. Its investors include Y Combinator and Silicon Valley Bank.
HiveWatch ($25 million raised)
HiveWatch develops physical security software. Its investors include former Twitter executive Dick Costollo and NBA star Steph Curry’s Penny Jar Capital.
Popshop ($24.5 million raised)
Whatnot competitor Popshop is betting that live-shopping is the future of ecommerce. The West Hollywood-based firm focuses on collectables such as trading cards and anime merchandise.
First Resonance ($19.4 million raised)
Founded by former SpaceX engineer Karan Talati, First Resonance runs a software platform for makers of electric cars and aerospace technology. Its clients include Santa Cruz-based air taxi company Joby Aviation and Alameda-based rocket company Astra.
Open Raven ($19 million raised)
Founded by Crowdstrike and Microsoft alums, Open Raven aims to protect user data. The cybersecurity firm’s investors include Kleiner Perkins and Upfront Ventures.
Fourthwall ($17 million raised)
When an actor faces the camera and speaks directly to the audience, it’s known as “breaking the fourth wall.” Named after the trope, Venice-based Fourthwall offers a website builder that’s designed for content creators.
The Non Fungible Token Company ($15 million raised)
The Non Fungible Token Company creates NFTs for musicians under the name Unblocked. Its investors include Jay Z’s Marcy Venture Partners and Shawn Mendez.
Safe Health Systems ($15 million raised)
Backed by Mayo Clinic Ventures, Safe Health develops telehealth software and offers tools for enterprises to launch their own health care apps.
Intro ($11.6 million raised)
Intro’s app lets you book video calls with experts—from celebrity stylists, to astrologists, to investors.
DASH Systems ($8.5 million raised)
With the tagline “Land the package, not the plane,” DASH Systems is a Hawthorne-based shipping company that builds hardware and software for automated airdrops.
Ettitude ($3.5 million raised)
With a focus on sustainability, Ettitude is a direct-to-consumer brand that sells bedding, bathroom textiles and sleepwear.
Afterparty ($3 million raised)
Along similar lines as Unblocked, Afterparty creates NFTs for artists and content creators such as Clay Perry and Tropix.
Heart to Heart ($0.75 million raised)
Heart to Heart is an audio-focused dating app that “lets you listen to the story behind the pictures in a profile.” Precursor Ventures led the pre-seed funding round.
Frigg (undisclosed)
Frigg makes hair and beauty products that contain cannabinoids such as CBD. The Valley Village-based company raised an undisclosed seed round in August.
From Your Site Articles
- The Early-Stage Startups in LA Set to Take Off in 2021 - dot.LA ›
- Los Angeles Startups Closed a Record Number of Deals in Q3 - dot.LA ›
- dot.LA's Map of Startups in Los Angeles - dot.LA ›
- The Hottest LA Startups of 2020 - dot.LA ›
- Los Angeles Cleantech Incubator Launches Green Loan Fund - dot.LA ›
- dot.LA's Guide on L.A. Flight Startups Overair, Archer Aviation - dot.LA ›
- Here Are LA’s Hottest Startups for 2023 - dot.LA ›
- Nobody Studios Plans to Build 100 Startups in Five Years - dot.LA ›
- From GameTree to Sota — Ukrainian Founders Call LA Home - dot.LA ›
Related Articles Around the Web
Amazon's Alexa+: Your New AI Companion
Image Source: Amazon
Amazon has unveiled Alexa+, a next-generation AI assistant powered by generative AI.According to Amazon, Alexa+ is designed to be more conversational, smarter, and highly personalized. It can manage tasks ranging from controlling smart home devices to making reservations and providing personalized recommendations. With the ability to understand colloquial expressions and complex queries, Alexa+ aims to make interactions feel less like commands to a machine and more like conversations with a trusted friend.
Alexa+ will be free for Amazon Prime members and available for $19.99 per month for non-members, adding a new premium tier to Amazon’s ecosystem. For more details,Amazon's official release covers the top features.
OpenAI's GPT-4.5: A Leap Towards Emotional Intelligence
Image Source: OpenAI
Meanwhile, OpenAI has launched GPT-4.5, its largest and most advanced AI language model to date.In OpenAI’s announcement, the company highlights how this upgrade enhances pattern recognition, connection drawing, and creative insight generation. Early testing indicates that interactions with GPT-4.5 feel more natural and intuitive, thanks to its broader knowledge base and refined personality.
This model is particularly adept at writing, programming, and practical problem-solving. However, OpenAI has clarified that GPT-4.5 is not a "frontier model", meaning it may not outperform highly specialized AI in certain areas. Still, it marks a significant step forward in AI’s capabilities.
Meta's Standalone AI App: Expanding the AI Ecosystem
Not to be left behind, Meta is set to launch a standalone AI app in the second quarter of 2025.As reported by CNBC, this move aligns with Mark Zuckerberg’s vision to position Meta as a leader in AI by the end of the year. The app aims to complement existing platforms like Facebook and Instagram, offering users a dedicated space to interact with Meta’s AI technologies.
This initiative is part of Meta’s broader strategy to enhance user engagement and stay competitive in the rapidly evolving AI landscape. With rivals like Amazon and OpenAI pushing forward, Meta is making its move to claim a seat at the AI table.
The Bigger Picture
These developments underscore a significant trend: AI is becoming increasingly integrated into our daily lives, with major tech companies striving to create more intuitive, personalized, and human-like interactions. As AI continues to evolve, users can anticipate more seamless and natural engagements with technology, blurring the lines between human and machine interactions.
In this high-stakes race, the real winners will be those who deliver AI that doesn’t just talk back—but truly understands.
🤝 Venture Deals
LA Companies
- Mitico, a Pasadena-based carbon capture technology company, has raised a $4.3M Seed funding round led by Exergon with participation from Freeflow Ventures, Alliance for Southern California Innovation, and others. The funds will be used to accelerate pilot testing and scale its technology, which captures over 95% of CO₂ emissions from industrial sources like gas-fired power plants and waste-to-energy facilities. - learn more
LA Venture Funds
- Alexandria Venture Investments participated in Eikon Therapeutics' $351M Series D funding round to support the company's advancements in live-cell imaging and protein movement analysis for drug discovery. Based in Hayward, California, Eikon is leveraging its proprietary technology to develop new treatments, with a focus on melanoma and other cancers. The funds will be used to accelerate drug discovery programs and expand clinical research efforts. - learn more
- MTech Capital participated in a €14.4M Series B funding round for Napo, a London-based InsurTech startup specializing in comprehensive pet insurance solutions. The funds will be used to enhance Napo's AI and automation capabilities, aiming to provide more efficient and customer-focused services to pet owners. - learn more
- Mantis VC participated in a $15M Series A funding round for Edera, a Seattle-based company specializing in workload isolation technology. Edera's solutions enhance cloud and AI infrastructure security by providing strong workload isolation, enabling developers to build rapidly without compromising security. The funds will be used to expand Edera's product offerings, including support for AI infrastructure, and to accelerate the adoption of their technology in securing cloud-native environments. - learn more
- B Capital participated in a $13.4M Seed funding round for Goose, a Chicago-based technology company developing a next-generation operating system for pet care providers. Goose's platform integrates services such as boarding, day care, grooming, training, and retail, aiming to streamline operations and enhance customer interactions for pet care businesses. The newly raised funds will be used to accelerate product development, expand partnerships, and meet the growing demand for their enterprise-ready platform. - learn more
- 75 & Sunny Ventures participated in a $6.7M Seed funding round for HouseWhisper, a Seattle-based company developing an AI-powered assistant designed to enhance real estate agents' productivity by automating administrative tasks. The funds will be used to advance product development, expand the team, and enhance AI capabilities, aiming to transform agent workflows and improve client engagement. - learn more
- Dangerous Ventures participated in an $18.5M Series A funding round for Cambium, a Baltimore-based supply chain technology company specializing in sustainable wood products. Cambium leverages AI to transform salvaged wood into Carbon Smart™ Wood and mass timber products, aiming to modernize the $788 billion wood products industry. The funds will be used to deploy AI technology, strengthen their wood supply network, expand into mass timber offerings, and scale operations to meet the growing demand for sustainable building materials. - learn more
- Nomad Ventures led a $1.7M Pre-seed funding round for WilsonAI, a London-based company developing the world's first AI-powered paralegal designed to integrate directly into in-house legal teams. Founded in August 2024 by Gus Neate and Alex Wang, WilsonAI aims to automate repetitive legal tasks, such as handling routine requests and reviewing contracts, thereby streamlining workflows. The funds will be used to enhance WilsonAI's AI capabilities, expand integrations with existing legal tech systems, and accelerate customer onboarding across various industries. - learn more
- Bill Silva Ventures participated in an €800,000 funding round for Solid IO, a Helsinki-based medtech company specializing in patient-specific organ-on-chip technology. Solid IO's platform replicates individual tumor microenvironments to provide real-time, accurate data on cancer responses to immunotherapies and combination treatments. The funds will be used to advance their tumor-on-chip platform, aiming to enhance personalized cancer treatment and improve patient outcomes. - learn more
LA Exits
- Loki Solutions, a company specializing in advanced cyber operations and intelligence analysis, has been acquired by VTG to expand its capabilities within the intelligence community. The acquisition strengthens VTG’s offerings in national security and cyber defense, integrating Loki Solutions’ expertise to support critical missions. - learn more
- Dave's Hot Chicken, a Pasadena, California-based chain renowned for its Nashville-style hot chicken, has been acquired by private equity firm Roark Capital in a deal valued at approximately $1 billion. Founded in 2017, Dave's Hot Chicken has rapidly expanded to over 250 locations worldwide, generating around $1 billion in annual sales. The company is majority-owned by its founders—Dave Kopushyan, Arman Oganesyan, Tommy Rubenyan, and Gary Rubenyan—and counts rapper Drake among its investors. Roark Capital, based in Atlanta, manages $38 billion in assets and owns a portfolio of major restaurant brands, including Arby's, Culver's, and Subway. - learn more
- Mob Scene, a premier Hollywood marketing agency specializing in film studios, television networks, and streaming services, has been acquired by Connekkt Media, one of Asia's largest media and entertainment-technology companies. This strategic acquisition aims to combine Mob Scene's creative marketing expertise with Connekkt Media's technological capabilities, enhancing their global reach and service offerings. Under the new agreement, Mob Scene's co-founder and CEO, Tom Grane, will continue to lead the company. - learn more
- Curious Refuge, a platform dedicated to supporting generative AI storytellers, has been acquired by Promise, a pioneering film and media company. This acquisition aims to empower and discover AI-driven storytellers worldwide, fostering a vibrant creative community that connects artists, filmmakers, and technologists. By integrating Curious Refuge's resources and community with Promise's innovative approach, the collaboration seeks to revolutionize the landscape of AI-generated storytelling. - learn more
According to plan, he enrolled at Indiana University and promptly founded Guuf, an esports tournament platform, before leaving school and selling the company shortly thereafter. Inspired by a talk on the problem of patent trolls from Union Square Ventures' co-founder Fred Wilson and a blog post on the subject by Elon Musk, at 19 Cavanaugh formed Brainbase, a technology company meant to simplify and streamline the management of intellectual property (for example, trademarks, patents, copyright).
Five years later, the company has around 40 employees and its customers include BuzzFeed, the Vincent Van Gogh Museum, and Sanrio (of Hello Kitty and friends fame). Its flagship product is called Assist, which includes a dashboard for tracking royalty payments and schedules; analytical tools for comparing IP asset performance by property, territory, partner, category and distribution channel; automated invoice generation and contract management; and artificial intelligence tools to identify potential opportunities for exploiting IP.
Now, fresh off an $8 million Series A led by Bessemer Ventures with participation from L.A.-based Struck Capital, Alpha Edison, Bonfire Ventures, and Tera Ventures, Brainbase is expanding its product suite with a marketplace to facilitate IP-oriented transactions and a tool to enable IP filing and renewal. In a statement about the investment, Kent Bennett of Bessemer described Brainbase as bringing "the archaic, paper-shuffling world of IP management into the 21st century."
Brainbase's Assist product helps customers manage their IP
Cavanaugh has long been interested in business and tech. His dad is a serial entrepreneur himself whose current venture, Ready Nutrition, recently signed brand partnerships with NBA superstar Giannis Antetokounmpo and L.A. Rams pro-bowler Aaron Donald. As a 10-year-old kid he remembers marveling at videos of Steve Jobs, which he often rewatches now that he, too, runs a business. "The reality is it's in my genes," he says.
dot.LA caught up with Cavanaugh to ask about his journey so far and what motivates him to keep going, sometimes in the face of skepticism around his youth. His latest prediction? He says the next stage for Brainbase is going to be hard, but he's up for the challenge.
dot.LA: Tell me about your background and how that led to the company you sold after dropping out of college.
I'm originally from Pittsburgh and I grew up in an entrepreneurial family. My dad had been starting companies since I was born, so I was essentially interning at startups from the time I was eight years old. In my junior year of high school I started a website design and services business, and I was making enough money from it that I didn't want or need to go to college.
But I went to Indiana, largely because of Mark Cuban – he's from Pittsburgh, too, and he went there. I knew I didn't want to finish, but I don't think I had the risk tolerance to just not go; I wasn't ready to be a full-time founder yet. I didn't want to keep doing my website business so I decided I'd go, and try to start a startup with the intention of leaving early.
I'd been interested in gaming and esports, and as I kept learning about venture capital I thought a services business would be interesting. There was a company called Major League Gaming that was doing well at the time and my freshman year I formed a company that was basically a platform to facilitate esports tournaments. That was really before esports took off and frankly I think we sold it a bit too early.
Nate Cavanaugh is the founder of Brainbase
You're now on your third company and you raised over $12 million before turning 24. Have you had any pushback along the way because of your age?
Of course. There's a lot of negative press about young founders who aren't ready to run companies at scale. Until you sign that first set of impressive customers or raise money, you get doubted. I was 21 when Brainbase first raised VC funding and I didn't have traditional domain expertise in intellectual property. I was basically self-taught, and there were a lot of people that questioned our story.
What kept you going?
I'm extremely competitive. When I commit to something I have a will to succeed. And dropping out of college to start something makes you want it to succeed extra badly and do whatever it takes to make it work.
What would you consider some of your biggest personal achievements so far?
I'm a big believer that raising money is not necessarily a successful milestone – you need a strong outcome from that, so there's still a lot of work to do. But the fact that we were able to get a round done with Bessemer during COVID-19 was certainly not easy and I'm proud of that. We also recently did a deal with a big university for trademark licensing; I applied there for undergrad and was denied, so getting rejected and then getting them as a customer is kind of a a funny accomplishment.
And the customers we've been able to get, like Sanrio; they're one of the biggest licensors in the world and we got them as a customer within 12 months of starting.
Also one of our first investors was the founder of Duolingo, a unicorn, and they're from Pittsburgh, so I was proud of that too.
How did your dad's business experience impact you?
He had two businesses when I was growing up that got up to a fairly impressive scale, and then he wound them both down to start Ready Nutrition when I was in high school. So he was starting a clean-slate startup when I was a junior. I saw that grow from a one-person business to making nine figures in revenue. I worked as an unpaid intern and I saw how he ran meetings, interacted with employees, how he closed deals. That gave me a lot of valuable experience early on. It's one thing I don't talk about too much when I'm fundraising – as a founder you want your merits to live separately from that – but I was fortunate to be able to grow up with that.
How has your relationship with your dad evolved as you've had your own success?
We have an interesting dynamic. My family is still in Pittsburgh – when he and I talk it's almost all about work; it's the nature of our relationship. It's interesting to be able to talk about different ways we've done things. His business is bootstrapped, whereas we just closed a Series A. It's been really cool to be able to bring my experience with tech, VC and startups and to hear about his side of things in consumer goods. It's fun to be able to talk about and learn from the challenges he and I are going through.
Who else do you consider your role models?
Of the people in my network, I spend a fair amount of time with Adam Struck, the founder of Struck Capital; he's been a helpful mentor and is on our Board. Severin Hacker (co-founder and CTO at Duolingo) and Kent Bennett (Partner at Bessemer Ventures) have also been helpful. It's been great being able to go to them for function-specific questions.
I've been a fan of Steve Jobs and how elegantly Apple markets their products. I still go back and watch his interviews with Kara Swisher. I'd watch those when I was 10 years old.
I also admire Ben Horowitz; his book The Hard Thing About Hard Things is excellent. Andy Grove (former CEO of Intel), too. And I'm also interested in Peter Thiel, who often provides a contrarian view compared to the mainstream tech narrative.
What's your impression of the L.A. tech scene?
I've been really impressed, on a couple of levels. There's sufficient seed-stage capital from funders and the Series A market is maturing. I still think for Series B and beyond most founders think you need to go to NYC or San Francisco to raise, or at least to make the process competitive. And from a recruiting standpoint, there are so many impressive companies here and the region has a ton of engineering talent. So from the capital and recruiting standpoint it's only maturing and I expect that'll keep growing.
This interview has been edited for clarity and brevity.
---
Sam Blake primarily covers entertainment and media for dot.LA. Find him on Twitter @hisamblake and email him at samblake@dot.LAFrom Your Site Articles
- Headspace Adds Former Quickbook Exec as Audience Grows - dot.LA ›
- Bonfire Ventures Raises $100M Fund II - dot.LA ›
- Brainbase Launches Two New Trademark Tracking Products - dot.LA ›
- Meta Software Moves Its Data SaaS Operations to LA - dot.LA ›
- Will AI Kill the Student Essay? These Professors Say 'No' - dot.LA ›
Related Articles Around the Web
https://twitter.com/hisamblake
samblake@dot.la