Waltham-based Care.com raises $50 million in new round of venture capital funding

Care.com Inc., a Waltham company that aims to connect families with caregivers, said Tuesday that it has raised $50 million in new funding, the largest amount it has generated since being founded in 2006.

The company offers a suite of online tools that list and sort providers of childcare, senior care, pet care, housekeeping, tutoring, and other services. It has approximately 7 million users in more than 15 countries.

Earlier this year, Care.com launched a campaign to expand internationally, acquiring Berlin-based Besser Betreut, the largest online care portal in Europe, for an undisclosed sum. It also introduced Care.com in the United Kingdom and Canada.


The $50 million round of new financing was led by Institutional Venture Partners, based in Menlo Park, Calif., and joined by existing Care.com investors Matrix Partners, New Enterprise Associates, Trinity Ventures, and others.

In the last quarter, only one New England company raised more than $50 million, according to the MoneyTree Report from PriceWaterhouseCoopers and the National Venture Capital Association. Harvest Power Inc., a Waltham company that provides waste management services, raised $112 million. Although top national venture deals ranged from $56 million and $147 million last quarter, nine out of 10 deals in New England were between $17 million and $35 million.

Care.com has previously raised $61 million in financing.

Institutional Venture Partners specializes in later-stage venture capital. Nearly a third of the 300 companies it has invested in since it began in 1980 have gone public. But Sheila Lirio Marcelo, founder and chief of Care.com, said it’s premature to speculate that the venture capital firm’s investment means Care.com is considering an initial public offering.

“Right now, we’re open to many options,’’ Marcelo said. “We will pursue whatever financing strategy will allow us to quickly deliver our services to families globally.’’

She said the company intends to use the new funding to grow, as well as to consider possible acquisitions.


When Care.com started, it concentrated on childcare, senior care, pet care, and tutoring. It has since added housekeeping, care for special needs children and adults, and errands.

It also offers a referral program to companies that provide care services outside the home, and an employer program that allows employers to offer care services as a benefit.

The company’s revenue comes from consumer subscriptions, which range from $35 a month to $140 a year; referral fees from care providers; and value-added services, such as developing care plans for families and companies.

Care.com has specialized competitors that include Chicago-based Sittercity, Inc., and start-up SittingAround, which is headquartered in Boston. But Marcelo said her company’s strategy is to be a “one stop shop’’ with a broader offering of care services than its rivals.

“We want to be able to track the entire range of a family’s care needs as they develop,’’ she said.

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