Gather.com Raises $5.3 Million
Gather.com is a service focused on making new friends and forming new social circles. The company is based in Boston, Mass. and has announced that they have raised $5.3 million in funding from Allen & Co., American Public Media, Jim Manzi (former CEO of Lotus), Jack Connors (former CEO of Hill Holiday), Kevin McClatchy, Andrew Tobias, and the Gerace family.
Gather had increase sales of about 49% in the first quarter over the same period about a year ago. Gather raised VC funding because they needed additional capital to help fund operations. Based on the current run rate, the company expects to be profitable by early 2010.
This round of funding puts the company’s total at about $25 million. Most of the investors that participated in this round had participated in previous rounds as well.
[via NEVC Funding]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry