Relyance AI, a startup that helps businesses stay compliant with code-level privacy laws, today announced a $ 25 million Series A. At the same time, they revealed a previously unannounced $ 5 million funding round.
Menlo Ventures and Unusual Ventures led round A, while Unusual was the only seed in the lead. Unusual’s serial entrepreneur Jyoti Bansal will join the board of directors under the terms of the agreement. His partner John Vrionis had already joined after the classification round. Matt Murphy from Menlo enters as a board observer. The company has now raised $ 30 million.
Relyance takes an unusual approach to verify that data remains compliant by working at the code level, while ingesting existing contracts and legal requirements as code to ensure that a company is in compliance. Company co-CEO and co-founder Abhi Sharma says code-level verification is the key to the solution. “For the first time, we are integrating legal compliance and regulation into the source code,” Sharma told me.
He added, “Relayance is actually integrated into the DevOps pipeline of our customers’ infrastructure. So whenever a new ETL pipeline is built or a machine learning model receives new source code, we perform a compiler-like analysis of how sensitive personal data flows between internal microservices, lakes and data warehouses, then let’s get a metadata analysis. back to privacy and compliance professionals [inside an organization]. “
Leila R. Golchehreh, the other Founder and Co-CEO brings a wealth of compliance experience to the equation and has taken on the challenge of keeping businesses in compliance firsthand. She said Relayance also allows companies to set policies and contracts as code.
“Our approach is specifically to ingest contracts. We actually created an algorithm on how [you] write a good data protection agreement. We have extracted these relevant provisions and we will compare them to the [your] operational reality. So if there is a disconnect, we can bring it up as a smart snapshot of data misalignment, ”she said.
With 32 employees, the co-founders hope to double or even triple that number over the next 12 to 18 months. Golchehreh and Sharma are a diverse team of co-founders and they are trying to build a business that reflects this. They believe that being distant first gives them a head start in this regard, but they also have internal policies to steer it.
“The recruiters we work with have an internal mandate to say, ‘Hey, we really want to hire great people and diverse people.’ Reliance as a business is the genesis of the meeting of two individuals from two completely different ends of the spectrum. And I hope we can do our job of relaying that across the business as we grow, ”said Sharma.
The two founders have been friends for several years and started talking about starting a business together in 2019 over a pizza dinner. The idea started to take shape and they launched the business in February 2020. They spent time chatting with compliance professionals to better understand their requirements, then started building the solution they have today. hui in July 2020. They released a beta in February and started selling quietly. this in March.
Today, they have a number of early customers working with their software, including Dialpad, Patreon, Samsara, and True.