Most of you have probably already seen this news: Yelp Receives Investment From Elevation Partners:
Yelp, the community-led local search site, today announced that private equity firm Elevation Partners has agreed to make a $25 million investment in Yelp through the purchase of Series E preferred stock. Elevation Partners will also seek to increase its total investment in Yelp to $100 million through a planned purchase of shares from vested employees and other eligible shareholders . . .
Yelp plans to use the additional funding to deepen its market leadership position throughout the US, accelerate growth in Canada and throughout Western Europe, and continue the development of innovative mobile applications.
This is 2X what TechCrunch originally reported as a rumor a week or so ago. Some vested employees will make money without the company having to go public.
Yelp’s ongoing challenge comes in selling ads and in acquiring more SMB customers; it has built a very successful brand on the consumer side. But it has a 200-person strong telephone sales operation that it will probably enhance further with some of these funds.
Not much more to say right now, but I will write more after I speak with the company.