Qstream, Inc. announced a first close of $505,000 of its $750,000 debt private placement. The non-brokered offering, subscribed by thirteen investors, is expected to close within a year. The company has raised an estimated $1.25 million from eleven investors via an equity offering which occurred two years ago.
The company is commercializing a real-time sales training and analytics platform that uses a simple question and answer system pushed to salespeople’s mobile devices. Qstream sends information in three minute chunks to a user’s mobile device or laptop every few days. Information is repeated over spaced intervals of time until the content is mastered. Questions are delivered in spaced intervals based on the gaps in a representative’s knowledge. According to the company salespeople forget 79% of what they need to know within thirty days. The “spaced education” learning methodology used by the company was developed at Harvard Medical School and is scientifically proven to increase knowledge retention from three months to two years.
The company, headquartered in Burlington MA, is lead by Duncan Lennox (CEO). It was founded in 2008 under the name of Spaced Education, Inc. The board of directors includes Hambleton Lord, Price Kerfoot and Harold Copperman.