Hoot Reading, an EdTech startup based in Winnipeg, has raised $2.4 (3 CAD) million in seed funding to expand its online reading tutoring platform.
The oversubscribed funding round was led by Spin Master Ventures, the corporate venture arm of Spin Master. The funding will allow Hoot reading to expand its presence to new markets, helping to advance underserved children’s reading skills. Frederic Gunnarson, Global Director of Digital Mergers & Acquisitions at Spin Master Ventures, referred to the firm’s participation in the round by stating:
“Online tutoring is one of the most rapidly growing sectors in education. Amid the growing cultural awareness and acceptance of virtual learning, or tutoring more specifically, Hoot Reading has experienced impressive traction and exponential growth. We will benefit from Hoot’s deep knowledge of childhood education as we build our digital games edutainment business and are delighted they are one of Spin Master Ventures’ first investments.”
Hoot Reading has been connecting kids with experienced classroom teachers to access live 1:1 reading lessons via its video chat platform ever since being launched back in 2018. The startup has experienced rapid growth over the past years, growing its network of teachers to more than 500 and its offering of curated texts to more than 2,000, all while delivering more than 100,000 online lessons. .Maya Kotecha, Co-Founder and Co-CEO of Hoot Reading, said about the startup’s mission:
“Parents are often shocked to learn that more than two thirds of kids are reading below grade level by the fourth grade – and the pandemic significantly exacerbated this issue. Our mission at Hoot Reading is to help as many kids as possible become not only proficient, but excellent readers. With this funding in place, we can expand our team and scale our platform to meet the growing demand for our service.”
With the COVID19 pandemic boosting the adoption of online learning services, the $5.6 billion online tutoring industry is expected to expand at over 15% CAPR during the next 7 years. Hoot Reading is aiming to maintain the momentum generated by social distancing measures, helping kids all around the United States not only to improve their reading skills but also to have fun while doing it.