Israeli-American Fiverr, digital services marketplace, nets $60M financing led Square Peg Capital
Fiverr has announced $60 million in new financing led by Square Peg Capital, with existing investors Bessemer Venture Partners, Accel and Qumra Capital also adding substantial new financing in the round. This brings the total amount raised by Fiverr to $110 million. The company will use the new funding to more aggressively attract the 97 percent of freelancers who, according to the recent MBO Partners State of Independence in America Report, still rely primarily on word-of-mouth, local networks and other less-efficient, offline means to do business. On Fiverr, every freelancer can turn their digital service into a product sold to small businesses and entrepreneurs around the world.
Fiverr is also going beyond five dollars. For the first time, the company announced that all freelancers on the site will soon be free to set their own Gig® prices rather than be required to start them at $5. Over the next several weeks, Fiverr will introduce easy-to-understand Gig Packages across several pricing tiers. This will dramatically simplify the way freelancers — or Fiverr sellers — price and bundle services. The new Gig Packages will also help Fiverr sellers pocket more cash, create greater value for buyers, and make sellers nimble enough to compete for larger projects from SMBs, entrepreneurs and even corporate marketing departments.
For more information on Fiverr Gig Packages, visit: https://www.fiverr.com/liveandearn
Freelancers can package their core services with other value-added services — like printing and stock imagery — directly on Fiverr.com. As a result, sellers can expect to see an increase in the value of their Gigs, while buyers will enjoy a more streamlined purchasing experience. Fiverr plans to continue to roll out new value-added services and bundled Gig Packages throughout 2016.
“We started Fiverr to prove that you can bring the world of freelance creative services online and make buying Gigs as easy as purchasing a flat-screen TV online,” said Micha Kaufman, CEO, Fiverr. “Today, we see more freelancers shifting their business online, which grabs the attention of investors, and they’re driving the overall size of the marketplace to dizzying new heights. With the Gig economy workforce expected to hit 43 percent of the total U.S. workforce by 2020, we’re bullish about the economic opportunities we’ll create in the near future for our community.”
Today, Fiverr generates close to 1 million digital transactions per month and features everything from one-off design and creative deliverables, to projects costing thousands of dollars. The new Fiverr platform features will allow more experienced freelancers who may have shied away from online marketplaces to design and execute packages that allow them to earn more without any perceived quality concerns based solely on price. For buyers in large companies and SMBs, Fiverr is now a one-stop shop for on-demand creative projects that deliver unmatched value.
Since 2010, Fiverr has focused on helping aspiring creative professionals build their own businesses and monetize their passions in new ways. From cash-strapped college students needing more than an unpaid internship to get through school, to Gen X workers stuck in a dead-end job and retiring Baby Boomers supplementing their income, Fiverr is enabling people around the globe to pursue their passions.
“The new investment by Square Peg Capital and the additional investments from Bessemer, Accel and Qumra Capital as well as from private investors like Jonathan Kolber and Guy Gamzu are tremendous validation for the vision that we’re bringing to life,” said Kaufman, Fiverr’s CEO. “This funding from new and existing partners will help expand our geographic footprint, compete for new talent, add innovative new features and more aggressively grow our company, potentially by acquiring other businesses in our space.”
Fiverr® is shaping the future of work, every day, by shifting the freelance economy online. Founded in 2010, with offices in New York City, Chicago, Miami and Tel Aviv, Fiverr is the world’s most transacted marketplace for digital services. Our horizontal marketplace provides nearly any digital service in just one click, without haggling over the service deliverables or the price. Buyers can choose from the world’s largest catalog of pre-packaged services ranging from graphic design to music/video editing to marketing and copywriting. Fiverr sellers looking to make extra cash have delivered millions of high-quality Gigs from 100+ categories of services, and across 196 countries. Fiverr’s investors include Bessemer Venture Partners and Accel. We invite you to visit us at fiverr.com, and join our conversation about the collaborative economy on Facebook, Twitter and Instagram.
Source: Fiverr Press Release