How Locu Proved Its $70M Worth


Andrea Huspeni of reports, "The internet has been around for decades, but many mom-and-pop shops continue to drag their feet when it comes to creating an online presence. To help, there's Locu, a service that allows companies to create a digital footprint through self-service tools. Four Massachusetts Institute of Technology students -- working out of a lab put on by Tim Berners-Lee, the inventor of the World Wide Web -- founded the site in 2011. Locu has managed to get 30,000 businesses to sign up for it service, by providing an easy-to-use dashboard for small business marketing materials. So it allows companies to update online content like menus and pricing lists. The company works on a freemium model, offering some of its basic services for free, with additional benefits costing $25 a month."

Huspeni continues, "Locu's ability to scale and generate revenue helped the startup catch the attention of Scottsdale, Ariz.-based GoDaddy. In October the domain and web-hosting giant snatched up Locu for a reported $70 million. We think this is pretty impressive. So for the month of November, Locu is officially Entrepreneur's Startup of the Month. With that comes bragging rights for life, naturally… We chatted with co-founder Rene Reinsberg about motivation, getting acquired, challenges and advice."

Read the full interview here.

Image: Courtesy Locu