Spellbook Raises $50M Series B to Expand AI Contract Review Platform

The new round, led by Keith Rabois at Khosla Ventures, values the company at $350M as it scales to capture more of the $1T transactional legal services market

TORONTO--(BUSINESS WIRE)--Spellbook, often described as “Cursor for contracts,” today announced a $50 million USD Series B funding round led by Keith Rabois, Managing Director at Khosla Ventures, with participation from Threshold Ventures, and existing investors Inovia Capital, Bling Capital, Moxxie Ventures, Path Ventures and Jean-Michel Lemieux. The capital raise values the company at $350 million post-money and brings total funding to over $80 million.

The investment comes as Spellbook surpasses 10 million contacts reviewed on its platform, with customers including Nestlé, eBay, and Kennedys, among others. On pace to triple its revenue this year, Spellbook has emerged as the leading AI solution for transactional lawyers, serving nearly 4,000 law firms and in-house legal teams across 80 countries – more customers than any comparable AI contract review product.

"We're at the spreadsheet moment for lawyers," said Scott Stevenson, CEO and co-founder of Spellbook. "Just as spreadsheets transformed accounting, large language models are transforming law after 20 years of technological stagnation. With $30 trillion running through contracts annually in the U.S. alone, even small efficiency gains create massive value. This funding accelerates our mission to make contracts move at the speed of commerce."

The new capital will fuel Spellbook's expansion beyond contract review into the full scope of transactional work, scale go-to-market teams to capture more of the $1 trillion transactional legal services market, and enhance AI capabilities with deeper contract intelligence grounded in realtime market data.

"Spellbook is using technology to make law faster, better, and more transparent," said Keith Rabois, Managing Director of Khosla Ventures, who will join Spellbook's board of directors. "It’s the Shopify and Square democratization story for lawyers.”

AI That Lawyers Actually Use

Unlike competitors that require multi-month enterprise rollouts, Spellbook is like Cursor for contracts: it works instantly within existing workflows – right in Microsoft Word.

“We think Cursor has been so successful because it’s like an electric bicycle for engineers. They already had a bicycle – with Cursor they are still pedalling and still steering, but they can get up hills much faster, said Stevenson. “We have the same philosophy at Spellbook. We don’t require lawyers to totally change how they work, or to give up control. We just help them ascend hills faster.”

AI Grounded in Realtime Data

Lawyers are frustrated by the contract review outputs they get from other AI tools. In order to win negotiations, they need positions that are grounded in data that they can cite, not so-called “AI slop.”

With this latest funding, Spellbook will continue to build out the most data-driven contract review tool available, providing relevant and substantive suggestions grounded in realtime market data, lawyer preferences and deal history.

The company has already begun rolling out features toward this vision, releasing Market Comparison and Preference Learning in beta, with plans to extend availability in coming months. It’s continuing to invest in Spellbook Associate, the first AI agent that can handle multi-document transactional drafting.

About Spellbook

Spellbook launched the first GenAI tool for lawyers in 2022 and continues to be the leading provider of legal AI for transactional law. It's helped nearly 4,000 legal teams improve their contract workflows and eliminate legal drudgery. Powered by large language models like OpenAI’s GPT-5, Spellbook is optimized to use legal-specific approaches for superior contracting performance. Spellbook is backed by investors including Khosla Ventures, Thomson Reuters Ventures, Inovia Capital, The Legaltech Fund, Bling Capital, and Moxxie Ventures. For more information about Spellbook go to https://www.spellbook.legal/.