Startup City Magazine

Animation Startup Receives Funding From LA Based Startup Minds

Powtoons, a startup company that provides a platform for animated videos has recently raised  an outside funding of $600,000. But the interesting part of the funding is that while other companies acquire their funds from outside investors, the funding made here was mainly due to Startup Minds, a company based in Los Angeles.

Founded in 2012, Startup Minds is an accelerator that follows a nontraditional strategy with investments ranging from 25,000 to 600,000 with no time limits. The amount of investments made outside is up to the funded company.

Founder Dr David Gonen says he came across this idea while he was searching for a suitable way to present his portfolio companies.

”The limited options for creating affordable and nontraditional marketing collateral is mind-blowing,” says Gonen, as reported by

What the company Powtoons does is to offer DIY solutions that can be used in creating animated videos for marketing products by explaining its solutions and ideas. This can be done with a core concept presented through scripts that are entertaining yet simple to follow.

These videos are often used in presentations that demonstrate a startup company.

Users will have to obtain Powtoons Fremium service in order to receive an access to Powtoons collection of Templates. Apart from this, he will also be provided with an access to content sold by various animators, designers, sound artists and voice actors at the Powtoon Marketplace.

Apart from this, Powtoon also has a DIY Platform where objects can be dropped into slides and animated by other non professionals. These animated works can be uploaded on social networking sites like Youtube, Facebook and Twitter.

“We took the smallest amount of funding we possibly could to grow the company while maintain a bootstrapping style and corporate philosophy. We only wanted one single investor and we had term sheets on our table for a multiple of the investment amount from different sources – but we finally decided on StartupMinds because they seem to be a great fit for us,” says Ilya Spitalnik, CEO and founder of Powtoons.


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