Glassdoor, the job-review website that allows employees to anonymously rate their companies, has raised $70 million in financing from investors led by Google Capital and Tiger Global Management, as well as from existing investors Sutter Hill Ventures and Battery Ventures. The Sausalito-based company has raised an estimated $160 million to date, giving it a near $1 billion valuation, the Wall Street Journal reported.
Co-founded in 2007 by CEO Robert Hohman, Tim Besse, and Rich Barton, a trio of Expedia veterans, Glassdoor today claims more than 6.5 million reviews across more than 325,000 registered companies. The startup generates revenue primarily from selling job ads and analytics, as well as from offering paid, "enhanced" profiles for businesses looking to polish their listings.
Of the roughly 2,000 employers who pay for these enhanced profiles, not all are satisfied with the results, as Inc. recently reported: Robb Fujioka, CEO of tablet maker and Inc. 5000 honoree Fuhu, has likened the experience to being asked for a "ransom."
Glassdoor weeds out fake information on its site via remote content management teams, based in Ohio and Sausalito, which reject up to 10 percent of all submissions because they don't meet the community guidelines. Even so, spokeswoman Samantha Zupan has acknowledged that it's impossible to ensure the identities of online users: "How do we know that these are the people that they say they are? We don't. It's a crowdsourced site," she told Inc.