Founded in 2006, HubSpot offers an integrated inbound marketing suite (HubSpot 3) with analytics, SEO, blogging, advertising and lead-generation tools. The company has acquired Performable and OneForty to expand its product and community reach. HubSpot customers have generated more than 56 million leads since the company was founded. It recently added 100 net new jobs, bringing headcount to more than 400, and plans to hire about 55 more by year’s end. For 2011 HubSpot is forecasting a $60 million run rate, up over 85% from a year earlier, and leadership says it wants to reach a $100 million run rate before pursuing an IPO. The company has hired experienced finance leadership (JD Sherman as CFO) and added Ron Gill as board audit committee chair as it implements processes to operate “as if public.” HubSpot offers marketing software that helps businesses build blogs, engage via social networks, and generate leads. The company positions itself as a response to changing shopping behavior that reduces the effectiveness of traditional marketing. Customers use HubSpot’s tools—such as Twitter Grader, Facebook Grader and Website Grader—to attract and qualify leads. HubSpot reports 4,000 customers and a $25 million annual run rate in revenue, up from $10 million a year earlier. The company charges customers between $250 and $1,500 per month. HubSpot also practices its own approach to marketing through an active blog and free grader tools to drive new leads. HubSpot offers an Internet marketing application that helps businesses with SEO strategy, lead generation, and conversion efforts. Its product lineup includes tools such as Website Grader, which audits websites for search-engine friendliness, along with similar tools tailored for Twitter and Facebook. The company says it will use new capital primarily to increase investment in R&D focused on fixing the ‘broken’ set of outbound marketing tools. HubSpot reports revenue growth of 350% over the last year and says its customer count has grown consistently. The company is based in Cambridge, MA. The recent financing increases its total invested capital to date to $33.5 million. HubSpot is a Cambridge, Mass. startup that provides a package of software-as-a-service tools for inbound marketing targeted at smaller businesses (up to around 1,000 employees). Its product helps customers identify keywords, create landing pages and conversion forms, and analyze marketing data. HubSpot also offers a free SEO product called the Website Grader and uses its own software to build and analyze its site. Founders Brian Halligan and Dharmesh Shah say the company is focused on product quality and ease of use. The company plans to spend most of the new funding on research and development to simplify and improve the service. Its customer base has doubled since the beginning of the year.

Total raised

$95M

Funding rounds

4

Latest round

Debt Financing

Latest activity

Nov 2012