Sydney, Australia, 11 November 2013 - Crowdsourcing marketplace DesignCrowd.com today announced it has secured a further $3 million in funding from Starfish Ventures taking total funding to $6.3 million. DesignCrowd will use the funding to continue its international expansion including establishing a US office, and scaling operations and marketing functions internationally.
DesignCrowd helps businesses outsource or ‘crowdsource’ logo, website, business card, t-shirt, book cover, presentation designs and ideas from over 100,000 designers around the world. DesignCrowd recently reached $12 million in design projects through its site, and expects this to exceed $20 million in 2014.
Founded out of a Sydney garage in 2007 by Alec Lynch, DesignCrowd was funded with $10,000 in savings and three credit cards. Bootstrapped for two years, raised $300,000 in seed funding from angel investors, going on to raise $3 million from Starfish Ventures in 2011. The latest $3 million investment from Starfish Ventures takes it total funding to $6.3 million.
Since its last funding round in 2011, DesignCrowd has grown its team from three staff to 20, launched its service in eight new countries, hit 100,000 registered designers, and grown revenues over 500%.
The new funding will be used to open a US office, hire US sales and marketing specialists, and continue to scale the company’s international marketing efforts.
"We’re very pleased to have secured additional funding which will allow us to pursue an exciting and expanded international growth strategy," said Alec Lynch, founder and CEO of DesignCrowd.
"The US market is at the top of our list of priorities. It’s become our biggest source of sales despite not having an office or any employees there. We’ll open an office and build our team in the US in the next 12 months.
“The extra capital will also help us explore new markets including Europe, South America and Asia and allow us to invest further in new products and features.”
Anthony Glenning, Investment Director at Starfish Ventures, said it was an exciting time to be investing in the flourishing startup. “Given DesignCrowd’s tremendous growth to date, including crossing a revenue run rate of $10 million, we are excited to provide further capital to fuel further growth by expanding services in the US and other regions.”