Israel-based online mental health support platform circlesannounced on May 10 that it secured $16.5 million in Series A funding to expand R&D activities to update group-matching algorithms and expand its service offerings.
The round was led by early-stage venture fund Zeev Ventures, along with participation from Uber Freight boss Lior Ron and existing investors NFX, Flint Capital and Sir Ronald Cohen.
Founded in 2020, Circles is a subscription-based platform that combines the aspects of individual professional therapy sessions and free online support forums by connecting people who are experiencing similar challenges in life (divorce, bereavement, infertility, etc.) with each. others along with a vetted mental health professional in weekly online video groups to get the emotional support they need. Members of the Circles platform have access to personalized content, including self-help exercises, blogs, and webinars at no additional cost.
Since its launch, Circles now supports thousands of members across the US with hundreds of groups. In the second half of 2021 alone, the number of paying members increased by 500 percent, causing Circles to recruit four times as many mental health professionals.
“There is something truly amazing that happens when people facing similar challenges come together, and the better the combination, the more powerful the group experience,” said Irad Eichler, co-founder of Circles. “With this new round of funding, we will strengthen our matchmaking technology to match more accurately, increasing each group’s predisposition for success. This will bring us closer to our goal of making everyone, everywhere feel less alone.”
Circles’ platform is especially relevant now due to the outbreak of the COVID-19 pandemic, which the World Health Organization says was responsible for a 25 percent increase in the global prevalence of anxiety and depression. As a result, people have started turning to mental health apps to meet the compounding challenge, so much so that reports project the global mental health app market to reach $17.5 billion by 2030 and expand at a CAGR of 16.5% from 2022 to 2030.
“Circles is addressing a gap in the market with the powerful yet simple principle of human connection,” said Oren Zeev, founding partner of Zeev Ventures. “Driven by leadership with proven experience in successful social impact initiatives, Circles has positioned itself to be a market leader, pioneering accessible group support within the mental wellness space. I am really excited to be a part of this unique opportunity.”
