Total amount raised
$227.3 Millions
Latest funding date
Location
Chegg has successfully raised significant funding through multiple rounds, attracting a diverse group of investors. The platform offers a range of educational services, including textbook rentals, homework help, and career tools.
Continue reading to delve into the details of Chegg's funding journey and the investors who have supported its growth.
What Is Chegg?
Chegg, founded in 2005 by Aayush Phumbhra, Josh Carlson, and Osman Rashid, is based in Santa Clara, California. The company provides a range of educational services, including textbook rentals, homework help, and career tools.
With a mission to help students save time, save money, and get smarter, Chegg offers resources like writing support, math solutions, and digital flashcards. The platform is designed to support students at universities and community colleges.
Chegg employs between 501 and 1000 people, making it a significant player in the educational technology sector. The company continues to innovate, providing tools that enhance the learning experience for students worldwide.
How Much Funding Has Chegg Raised?
- Venture Round
- Amount Raised: $25M
- Date: December 17, 2008
- Lead Investors: Kleiner Perkins
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the textbook rental service and develop new educational tools.
- Venture Round
- Amount Raised: Not publicly disclosed
- Date: January 1, 2009
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: Likely aimed at supporting the company's growth and operational expansion.
- Series D
- Amount Raised: $57M
- Date: November 19, 2009
- Lead Investors: Insight Partners
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To fuel the company's expansion and enhance its educational platform.
- Debt Financing
- Amount Raised: $30M
- Date: November 19, 2009
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support operational costs and further development of services.
- Series E
- Amount Raised: $75M
- Date: September 27, 2010
- Lead Investors: Ace Limited
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand the company's market reach and enhance its product offerings.
- Series E
- Amount Raised: Not publicly disclosed
- Date: December 7, 2010
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: Likely aimed at further scaling the business and improving service delivery.
- Venture Round
- Amount Raised: $6M
- Date: July 17, 2011
- Lead Investors: SuRo Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support the development of new educational tools and services.
- Venture Round
- Amount Raised: $25M
- Date: March 9, 2012
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To fuel the growth of the business and expand service offerings.
- Venture Round
- Amount Raised: $2.4M
- Date: April 1, 2012
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To support ongoing business operations and service enhancements.
- Post-IPO Equity
- Amount Raised: Not publicly disclosed
- Date: April 7, 2016
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To continue expanding the company's educational services and market presence.
Total Amount Raised: $220.4M. Current Valuation: Not publicly disclosed.
Key Investors
- Kleiner Perkins
- Details: Kleiner Perkins is a venture capital firm known for investing in early-stage and growth companies. Founded in 1972, it has a long history of backing successful tech startups.
- Investment Focus Areas: Technology, life sciences, high-growth industries.
- Notable Investments: Google, Amazon, Twitter.
- Insight Partners
- Details: Insight Partners is a global private equity and venture capital firm. It focuses on growth-stage technology and software companies.
- Investment Focus Areas: Technology, software, internet.
- Notable Investments: Twitter, Shopify, DocuSign.
- Ace Limited
- Details: Ace Limited is a global insurance and reinsurance company. It provides a wide range of insurance products and services.
- Investment Focus Areas: Insurance, reinsurance, financial services.
- Notable Investments: Primarily in the insurance and reinsurance sectors.
- SuRo Capital
- Details: SuRo Capital, formerly known as GSV Capital, is a venture capital firm. It focuses on investing in high-growth, venture-backed private companies.
- Investment Focus Areas: Technology, education, social media.
- Notable Investments: Facebook, Twitter, Spotify.
- Pinnacle Ventures
- Details: Pinnacle Ventures is a private venture capital firm. It provides debt and equity financing to early-stage companies.
- Investment Focus Areas: Early-stage companies, technology, clean energy.
- Notable Investments: Facebook, Tesla, SpaceX.
What's Next for Chegg?
Chegg's future looks promising with the expansion of its digital textbook offerings and the development of additional educational services like course reviews and homework help. Serving over 7,000 colleges and 4.5 million users, the company is well-positioned to capitalize on the growing demand for online educational resources.
Given its successful history of raising funds, Chegg is likely to attract future investments to support its growth and expansion plans. The involvement of high-profile investors indicates strong confidence in the company's potential. However, Chegg will need to navigate challenges such as competition from other digital education platforms and managing the logistics of textbook rentals.
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