It appears GoFundMe’s founders have decided it’s time to cash out.
The company’s cofounders Brad Damphousse and Andy Ballester told the Wall Street Journal today that the pair have decided to sell a controlling stake to the investor group that is leading its latest financing round. TechCrunch previously broke the news of the financing round, as well as the company’s valuation rising to between $600 million and $650 million before finally closing.
That kind of sale for the company, which was previously bootstrapped, obviously represents a large return for its founders — and likely early employees. It’s also not the only crowdfunding company that has raised at a high valuation, with Tilt raising a financing round at a $400 million valuation, as previously reported by TechCrunch. As part of the deal, the investors will “a group of Internet veterans to run GoFundMe,” according to the Journal report.
The Journal reports that the final valuation for the company in its financing round, which is being led by Accel Partners and Technology Crossover Ventures, is $600 million. TechCrunch previously also reported that Iconiq Capital, which handles the finances of executives like Mark Zuckerberg, participated in the latest funding round.
Our sources told us at the time of the report that GoFundMe it was hitting around $100 million in funds raised through campaigns every month, making it one of the largest crowdfunding sites on the Internet (if not the largest). The company has seen 300 percent growth year-over-year in the amount of funds it has raised every month, according to our sources.