Coding bootcamps have been quick to adopt income-share agreements, or ISAs, as they work to figure out funding models amid a fast-changing industry.
The model typically entails students paying back a portion of their salary after completing a program and landing a job, rather than paying tuition up front. And even as questions remain about whether or not this unregulated financing model will work in the long run, more alternative education providers—and even some universities—are giving ISAs a try.
Lambda School is one of the venture capital community’s latest bets. Today, the San Ramon, Calif.-based online coding school has raised $30 million in a Series B funding round, led by Bedrock Capital, to grow its offerings. Vy Capital, Google Ventures, GGV Capital, Y Combinator and Sound Ventures also participated in the financing.
With the added funds, Lambda School also announced it will be adding courses in cybersecurity and medicine. In an interview with EdSurge, co-founder and CEO Austen Allred says the company plans to offer short-term programs in areas such as nursing—a field that is more regulated than the company’s existing training courses in coding, data science and web design.