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About
Spellbook makes AI contract drafting and review software that lives inside Microsoft Word, used by lawyers at law firms and in-house legal teams. The company spent five years as Rally, a legal document-templating startup founded in St. John's, Newfoundland in 2018. In summer 2022, co-founder and CEO Scott Stevenson built a GitHub Copilot-inspired prototype as a nights-and-weekends side project; customers reacted more strongly than to anything the team had shipped before, and within about three months the whole company moved over — co-founder Matt Mayers describes the Rally years as 'drunkenly stumbling through the jungle' before that recipe clicked. As of July 2026 Spellbook reports 4,500+ legal teams in 80+ countries and more than 10 million contracts processed, with customers including Nestlé, eBay and Kennedys. It raised a US$20M Series A led by Inovia Capital in January 2024, a US$50M Series B led by Keith Rabois at Khosla Ventures in October 2025 at a US$350M post-money valuation, and added a US$40M debt facility from RBCx in March 2026 earmarked for acquisitions in a consolidating legal-AI market. That same month the Canadian Bar Association named Spellbook its AI contract drafting and review partner. The team operates from St. John's and Toronto.
Backers
Khosla Ventures led the US$50M Series B (Oct 2025; Keith Rabois joined the board), with Threshold Ventures, Inovia Capital, Bling Capital, Moxxie Ventures, Path Ventures and former Shopify CTO Jean-Michel Lemieux. Inovia Capital led the US$20M Series A (Jan 2024), joined by Thomson Reuters Ventures, The Legaltech Fund, Concrete Ventures, N49P and Good News Ventures. RBCx provides a US$40M debt facility (Mar 2026).
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Quick answers
What does Spellbook do?
Spellbook is a Microsoft Word add-in that drafts and reviews contracts with AI. It redlines risks, drafts clauses and documents from precedents, benchmarks terms against market standards, answers contract questions with citations, and applies a team's own standards automatically through Playbooks. Spellbook Associate, its AI agent, handles multi-document transactional work end to end.
How did Spellbook grow out of Rally?
The team spent about five years building Rally, a legal-tech startup with decent metrics but never deep product-market fit. In summer 2022, CEO Scott Stevenson coded a GitHub Copilot-inspired prototype on nights and weekends; customers reacted more strongly than to anything the company had shipped before, so over roughly three months the team moved the entire operation to Spellbook and raised its next round on that traction.
Who backs Spellbook?
Keith Rabois at Khosla Ventures led the US$50M Series B in October 2025, with Threshold Ventures, Inovia Capital, Bling Capital, Moxxie Ventures, Path Ventures and Jean-Michel Lemieux. Inovia led the US$20M Series A in January 2024, joined by Thomson Reuters Ventures, The Legaltech Fund, Concrete Ventures, N49P and Good News Ventures, and RBCx added a US$40M debt facility in March 2026 for acquisitions. Co-founder Matt Mayers has argued on the TechTO stage for partner-first fundraising over maxed-out valuations.