How Much Did G2 Raise? Funding & Key Investors

G2 has successfully raised funding over seven rounds, with the latest being a Series D round led by Permira and Salesforce Ventures. The company is backed by 23 investors, including notable names like HubSpot Ventures.

Keep reading to explore the intricacies of G2's fundraising journey and the investors backing this innovative platform.

What Is G2?

G2 operates a software marketplace for business organizations to research, buy, and manage their software and services. The company is located in Chicago, Illinois, and has between 501-1000 employees.

G2 covers a wide range of industries, including B2B, Business Intelligence, Consumer Reviews, Enterprise Software, Marketing Automation, and Software. The platform is known for its extensive database of real user reviews, helping businesses make informed software purchasing decisions.

How Much Funding Has G2 Raised?

1. Series D
   • Amount Raised: USD 157,000,000
   • Date: June 2021
   • Lead Investors: Permira, Salesforce Ventures
   • Valuation at Round: Over USD 1.1 billion
   • Motivation Behind the Round: To expand G2's community and products, grow its team, and invest in its vision to be the go-to place for software online.
2. Series C
   • Amount Raised: USD 55,000,000
   • Date: October 2018
   • Lead Investors: IVP
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To scale operations and enhance the platform's capabilities.
3. Series B
   • Amount Raised: USD 30,000,000
   • Date: May 2017
   • Lead Investors: Accel
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To accelerate growth and expand market reach.
4. Series Unknown
   • Amount Raised: USD 4,272,384
   • Date: December 2016
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To support ongoing development and operational needs.
5. Series A (July 2015)
   • Amount Raised: USD 7,000,000
   • Date: July 2015
   • Lead Investors: Pritzker Group Venture Capital
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To expand the team and enhance the platform's features.
6. Series A (May 2014)
   • Amount Raised: USD 2,300,000
   • Date: May 2014
   • Lead Investors: Chicago Ventures
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To develop the platform and attract early users.
7. Seed
   • Amount Raised: USD 2,000,000
   • Date: February 2013
   • Valuation at Round: Not publicly disclosed
   • Motivation Behind the Round: To launch the platform and begin initial operations.

Total Amount Raised: USD 257,572,384. Current Valuation: Over USD 1.1 billion.

Key Investors

• Permira
  • Details: Permira is a global investment firm that backs successful businesses with growth ambitions. They led G2's Series D funding round.
  • Investment Focus Areas: Technology, consumer, healthcare, financial services.
  • Notable Investments: Genesys, Klarna, Informatica.
• Salesforce Ventures
  • Details: Salesforce Ventures is the global investment arm of Salesforce, focusing on enterprise cloud companies. They participated in G2's Series D funding round.
  • Investment Focus Areas: Enterprise cloud, SaaS.
  • Notable Investments: Zoom, DocuSign, Twilio.
• IVP (Institutional Venture Partners)
  • Details: IVP is a later-stage venture capital and growth equity firm. They have been involved in multiple funding rounds for G2.
  • Investment Focus Areas: Technology, media, internet companies.
  • Notable Investments: Twitter, Slack, Snap.
• Accel
  • Details: Accel is a venture capital firm that partners with exceptional founders with unique insights. They have invested in G2's Series B and Series D rounds.
  • Investment Focus Areas: Early and growth-stage technology companies.
  • Notable Investments: Facebook, Slack, Dropbox.
• HubSpot Ventures
  • Details: HubSpot Ventures is the investment arm of HubSpot, focusing on companies that align with HubSpot’s mission to help businesses grow better. They participated in G2's Series D funding round.
  • Investment Focus Areas: Customer experience, software solutions.
  • Notable Investments: Blissfully, Aircall, Remesh.

What's Next for G2?

G2 stands at the cusp of significant growth opportunities, driven by its recent $157 million Series D funding. The company plans to expand its community and product offerings, leveraging the expertise of strategic investors like HubSpot Ventures and Salesforce Ventures. With the software market expected to exceed $4 trillion in spending, G2 is well-positioned to capture a substantial share by enhancing its platform and reaching more software buyers globally.

Future fundraising opportunities appear promising, given the strong backing from high-profile investors and the company's robust growth metrics. G2's valuation of over $1.1 billion suggests potential for additional funding rounds or even an IPO as it continues to scale. The company aims to expand internationally, particularly in Europe and Asia, and enhance its recommendation engine through advanced data work.

However, G2 may face challenges such as maintaining the trust and authenticity of reviews while scaling, competing with other software review platforms, and managing rapid growth. Ensuring the quality of their services and integrating new hires will be crucial as they navigate these hurdles. Despite these challenges, G2's strategic vision and strong investor support position it well for continued success in the evolving software marketplace.

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