Drata Raises $25M Series A to Scale Security Compliance

The Necessity of Security Compliance and Drata's Solution

Achieving security compliance is often perceived as a tedious, lengthy, and yet fundamentally essential undertaking for any contemporary business. While the need for compliance isn't diminishing, companies like Drata are emerging to streamline the process and lessen its burden.

Accelerating SOC 2 Compliance with Automation

Drata focuses on accelerating SOC 2 compliance through the implementation of automation. SOC 2 certification demonstrates a company’s ability to securely store customer data within a cloud environment. However, traditionally, this process has been complex and time-intensive, frequently spanning several months – and requiring annual repetition.

This recurring demand presents a significant challenge, particularly for startups and smaller organizations with limited resources.

Gaining a Comprehensive Security Posture

Drata asserts its ability to expedite SOC 2 compliance and maintain ongoing adherence by integrating with widely used business applications and cloud platforms. This integration provides a more holistic view of a company’s overall security posture.

Expanding to ISO 27001

Following a successful funding round, Drata is broadening its compliance platform to encompass ISO 27001, a globally recognized security standard. ISO 27001 assists organizations in protecting their systems and ensuring data security.

Recent Funding and Growth

The company recently secured $25 million in Series A funding, just six months after a $3.2 million seed round in January. GGV Capital spearheaded the Series A round, with contributions from Silicon Valley CISO Investors, Okta Ventures, Cowboy Ventures, Leaders Fund, and SV Angel.

According to Drata CEO and co-founder Adam Markowitz, the company is experiencing an average monthly growth rate of 100% since its initial launch. They currently serve a diverse clientele, ranging from small, three-person startups to publicly listed corporations.

A Competitive Landscape

Drata is part of a growing number of companies addressing the compliance market. Other notable players include:

Secureframe, which secured $18 million in Series A funding to facilitate SOC 2 and ISO 27001 certifications.
Strike Graph, having raised $3.9 million in seed funding to automate security audits and achieve FedRamp certification.
Osano, a participant in the Startup Battlefield, raised $5.4 million in Series A to develop its risk and compliance platform.