Outschool

Founded in 2015 by Amir Nathoo, Outschool is a marketplace of live, online, just-for-fun classes for children aged 3 to 18. Class teachers are independent and may be certified teachers, artists, scientists or other adults with an expertise or an interest to share. Classes meet in small groups over live video chat. Based on the idea that a significant amount of impactful learning occurs outside the classroom, Outschool promotes learner-directed, interest-based education. The company’s vision is to build a global education community that supplements local schools. Teachers retain 70% of class fees, with Outschool earning the remaining 30%. In 2020, Outschool launched in Canada, New Zealand, Australia, and the UK. As of April 2021, ongoing classes account for 50% of the company’s business.

In mid-March 2020 the company established Outschool.org to provide free classes to families facing financial hardship following the outbreak of the Covid-19 pandemic. In July 2022, the company announced that it laid off 31 employees or 18% of its workforce to cut down on costs and streamline operations.

In September 2023, Outschool launched its AI Teaching Assistant tool for tutors to create progress reports for students. AI Teaching Assistant allows tutors to input session details and generates paragraphs summarizing students’ performance, facilitating communication with parents.

Funding and financials

In September 2020, Outschool raised USD 45 million in Series B funding to grow its workforce and expand beyond its consumer business to gain entry into school districts. The company raised USD 75 million in Series C funding in April 2021, for workforce expansion, particularly internationally. The company may also consider acquiring early-stage startups providing direct-to-consumer learning solutions in international markets. In October the same year, Outschool raised USD 110 million in Series D funding with a valuation of USD 3 billion led by Tiger Global Management and BOND to support and develop its ongoing initiatives including the recently launched “Outschool Pods,” a solution for teachers to plan ongoing organized classes in small group settings.

As of September 2020, the company reported revenue of USD 54 million and recorded a profit for the first time. Annualized revenue for 2020 was estimated at USD 100 million, up from USD 6.5 million in 2019 and USD 500,000 in 2017.