Photo credit: Nick Hillier
Soundtrack Your Brand, the self-proclaimed “leading global enterprise music streaming service,” has announced a $15 million “pre-growth round” led by Matt Pincus’ Music.
Stockholm-based Soundtrack Your Brand, which Spotify co-founded a decade ago with former Beats by Dre executive Ola Sars, announced the multimillion-dollar raise this morning. Hailed by top-tier sources as the “world’s fastest growing B2B music streaming service,” Soundtrack Your Brand’s is expected to provide commercial entities with access to approximately 100 million fully-licensed tracks.
In addition to Music’s main investment, Soundtrack Your Brand identified Dundee Partners as well as “all major existing Soundtrack investors” as participants in the pre-growth round. The latter backers include London-based Balderton Capital (a Kobalt investor), Miami-based Fuel Venture Capital (a Unitea shareholder) and Sweden-based Industrifonden. Teliaand DIG Investment.
Matt Pincus addressed his support for Soundtrack Your Brand and the access it gives business people on-demand music. (One of the advertised features of the company’s Soundtrack Unlimited subscription tier is the option to make “Spotify playlists” legal for corporate use by importing them directly into the Soundtrack Your Brand app.)
“It’s hard to believe, but before Soundtrack Your Brand, business owners didn’t have a legitimate way to play music on demand to their customers,” said Pincus, who announced a $200 million music fundraiser in May 2022. “Almost every business has some need for music – and most business owners believe that music creators should be paid for their work. It sounds obvious, but it took a lot of technological and business innovation to bring on-demand music to the economy, and Soundtrack pulled it off.”
Pincus has also joined the Board of Directors of Soundtrack Your Brand, which is planning “an additional growth round to fund further consolidation of the global background music market” in 2024. Meanwhile, CEO Ola Sars stated that today’s capital will enable his company to “extend our growth model to M&A.”
“Our mission to bring transparency and accountability to the dysfunctional background music market is gaining momentum.” communicates Sars. “Our financial performance and operational efficiencies are already very strong, but this investment allows Soundtrack Your Brand to expand our growth model into mergers and acquisitions, consolidate the fragmented background music market, and continue to ensure premium ARPU and fair compensation for music creators.”
Currently, Soundtrack Your Brand (which charges $54 per business zone per month for the aforementioned Soundtrack Unlimited plan) is reported to have an average revenue per user of $33. In addition, Soundtrack achieved “EBITDA profitability” in the first quarter of 2023, according to executives, after delivering 60 percent year-over-year revenue growth in 2022.