Funding News: Investing in the Future of the Media Industry
I’m excited to announce that Chartbeat has accepted $3.1m in additional funding led by existing investors Draper Fisher Jurvetson and Index Ventures with participation from Lerer Hippeau Ventures, Freestyle Capital, LAUNCH Fund, SoftTech VC and Lowercase Capital. From two guys around one desk to today, Chartbeat is now a company serving 80% of the top publishers in the U.S. with clients in 35 countries around the world. Our ability to do this is because of the consistent incredible support we’ve had from a stellar group of investors.
What will you be using the money for?
HIRING! We’ve now got multiple product lines that touch content creation, promotion and monetization, including Chartbeat’s new paid content service, which we launched today! That’s a lot of moving pieces that require multiple engineers, designers, and product people to lead us forward. If you’re interested in building a web where quality content and good design can make money; if you want to work with one of the most interesting data sets and some of the weirdest people in the world, we want to hear from you.
Why only $3.1m?
To be honest, that’s all our finance guy told me we needed. We intend to raise a larger Series C towards the end of 2014 to fuel our expansion in the longer term.
Why not do the Series C now?
Because if you’ve ever raised a financing round you know it’s a pain in the arse and distraction from the job of building a company. Right now, we’re heads down on developing new products and working with our partners on some stuff I’m utterly in love with and I didn’t want the distraction of a second full-time job taking me away from the maelstrom.
DFJ and Index told us almost nine months ago that if we ever wanted to build more of a war chest without having to go around the houses raising money they were keen to put money in at a healthy valuation. Given the product line expansion that’s been happening at Chartbeat, it made sense to make that call now. I’d like to thank DFJ, Index and our other investors for making this the easiest fund raise in history. You guys rock.
What should we expect from Chartbeat in future?
I made our position pretty clear in an article I recently wrote for TIME. We believe that for quality content to thrive on the web we need to value people’s attention as much as their clicks. We’re going to make that happen. We’re building an ecosystem of SAAS tools that enable people through the media/advertising world to do more with less and value content more effectively. If we succeed, then content creators can charge more for quality and advertisers can buy media based on their actual goals not proxies. It’s going to be a long road, but we’ve got the right partners with us and that’s half the battle.