Kaizen Raises $21 Million to Enhance America’s Public Services with People-First Technology

Kaizen has raised $21 million in a Series A funding round to fast-track its goal of modernising America’s public-facing digital infrastructure. 

The company seeks to replace outdated government systems with efficient, accessible, and user-friendly technology.

Led by NEA, with participation from 776, Accel, Andreessen Horowitz, and Carpenter Capital, the round follows an $11 million seed funding co-led by Accel and Andreessen Horowitz’s American Dynamism practice, bringing Kaizen’s total funding to $35 million.

Kaizen’s technology is already in use across more than 50 government agencies in 17 states, reaching over 30 million residents. From state parks and DMVs to court systems and tax portals, the company is bolstering how people access essential services. 

Instead of fragmented systems that charge taxpayers billions through maintenance contracts and outdated software, Kaizen offers a single, unified platform. Governments can deploy new services within weeks, and residents can interact with them through a modern, intuitive interface.

“Kaizen is focused on the most fundamental American services that we use every day – the parks, transit, licensing, the everyday systems that quietly hold our communities together. 

“That clarity of mission has accelerated their growth and embodies exactly what the American Dynamism movement stands for to ensure our government is working at the speed of technology and serving our national interests,” said Katherine Boyle, general partner at Andreessen Horowitz.

For Kaizen’s CEO and co-founder, Nikhil Reddy, the company’s mission is a personal one. He believes Americans have settled for less when it comes to public service technology. 

“American citizens have been worn down into accepting second-class solutions when it comes to public service technology,” Reddy said. “Think about it, when was the last time you had a delightful experience booking a DMV appointment or reserving a campsite at a state park?”

He added, “If we raise our expectations of what public service technology can and should be, we can transform not just someone’s day or weekend, but how millions of people experience the impact of their taxpayer dollars.”

The timing of Kaizen’s rise coincides with a national push for digital reform. The federal government recently established a National Design Office to oversee a $10 billion effort aimed at modernising more than 25,000 public service portals. 

Kaizen’s tools align closely with this agenda, providing governments with the digital infrastructure to serve citizens with the same ease as private-sector platforms.

“In so many places around the world, public services run on technology that’s every bit as good as what we use in our daily lives — sometimes better. There’s no reason America shouldn’t aim just as high,” said Alexis Ohanian, founder and general partner at Seven Seven Six. 

“Kaizen is building the backbone for public services that reflect the beauty, ambition, and potential of the society they serve.”

Co-founder KJ Shah, who began his career in mergers and acquisitions, saw how legacy systems affected public-sector efficiency. “For decades, public servants have been forced to use stagnant software built through acquisitions, not product innovation. Our agencies need and deserve a platform built natively and designed to grow with them,” he stated.

Kaizen’s results are already visible. In Maryland, the company launched a new state park day-pass system in less than two months, a full month ahead of schedule. 

On Independence Day weekend, state parks operated at full capacity without major check-in delays, eliminating long-standing traffic jams and cutting overtime costs. Wildlife even began returning to calmer park environments.

“As a career public servant with 30 years at the Department of Natural Resources, I can say without hesitation that this initiative is one of the most meaningful changes we’ve implemented to expand and safeguard public access while ensuring equitable access to our public lands,” said Paul Peditto, assistant secretary of Land Resources, Maryland DNR.

Since early 2024, Kaizen’s customer base has expanded tenfold, while annual recurring revenue has surged ninefold year-on-year. The company has recently partnered with Maricopa County, Arizona; San Bernardino County, California; Suffolk County, New York; and the Cherokee Nation. 

Its workforce is expected to grow from 30 to 50 by early next year as it targets federal agencies and new sectors such as courts and licensing.

“Kaizen is tackling one of the toughest areas in technology and doing it with precision and purpose,” said Amit Kumar, partner at Accel. “Nikhil sees opportunity where others see complexity, and his team is proving that public services can be modern, efficient, and built around the people they serve.”

Andrew Schoen, Partner at NEA, added: “Public services impact hundreds of millions of people every day in the US alone, yet their technologies often lag far behind the seamless digital experiences modern consumers expect. We’re thrilled to back Nikhil, KJ, and the Kaizen team as they bring streamlined, thoughtfully-designed, AI-native experiences to government services, already reaching more than 30 million residents across 17 states and 50 agencies.”

Kaizen’s long-term goal is to become the primary technology partner for public institutions, one that creates reliable, beautifully designed systems citizens can trust.

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