Nov 07, 2019, 06:00 ET
IRVINE, Calif., Nov. 7, 2019 /PRNewswire/ -- Kajabi, an industry-leading all-in-one platform helping individuals and small and mid-size businesses (SMBs) create and monetize online courses, training materials, and other content, announced today that it received a minority growth investment from Spectrum Equity, a leading growth equity firm investing in the information economy. The investment represents Kajabi's first institutional capital and furthers the company's mission to provide premium products to users worldwide.
Online learning has become a $220 billion global market, with many people turning to the Internet to meet both their professional and casual learning needs. Today, roughly 35 percent of the U.S. population pursues a "side hustle," and there are estimated to be over 40 million "solopreneurs" in the U.S. workforce. Many of these individuals are capitalizing on the demand for online learning by making their unique expertise available online. Kajabi is a key partner for entrepreneurs and SMBs interested in sharing their expertise and growing their businesses.
"Since inception, we have helped 41 million users access great educational content, and our customers have generated over $1 billion in sales," said Kajabi Co-founder and CEO Kenny Rueter. "We feel fortunate to partner with incredible entrepreneurs who are sharing their expertise with the world and are excited to help so many more. This investment from Spectrum will help us continue to invest aggressively to support our subscribers and provide them with all the tools they need to be successful."
Jonathan Cronstedt, President of Kajabi, added, "We believe there is a significant growth opportunity ahead and look forward to helping more individuals and SMBs unlock and monetize their expertise. We are thrilled to be partnering with Spectrum Equity to help further our efforts and reach. Spectrum's expertise in scaling SaaS SMB-focused businesses is directly relevant to us, and we are excited to draw upon that experience as we continue to grow the company."
From website creation, email marketing, course authoring, business analytics and acceptance of global payments, Kajabi combines everything entrepreneurs and SMBs need into one single platform to run their digital business. Unlike many of the dominant social media platforms on the market, Kajabi is entirely creator-focused, giving its subscribers complete autonomy to drive their businesses forward and highlight their own brand, allowing them to create content that augments their offline business strategy.
"We are delighted to partner with the Kajabi team. The company has enabled countless entrepreneurs to create and share their expertise online, creating valuable content for their end customers," said John Connolly, Principal at Spectrum Equity. "As more consumers turn online for both professional and generalized learning, the market opportunity for Kajabi and its customers only continues to grow."
Steve LeSieur, Managing Director at Spectrum Equity, added, "Our investment in Kajabi continues Spectrum's long track record of backing product-first, founder-led companies. The investment also exemplifies Spectrum's support of software solutions that enable entrepreneurs and SMB owners to be successful in today's digital era as well as the firm's commitment to investing in educational efforts. We are excited to bring this highly relevant experience to Kajabi."
In conjunction with the transaction, John Connolly and Steve LeSieur will join Kajabi's Board of Directors.
Kajabi empowers entrepreneurs, experts and influencers who are serious about their business to achieve success online. With its robust set of continuously expanding tools and features, Kajabi's all-in-one platform leads the industry. Over the company's history, it has had subscribers in 120 countries who have served over 41 million students and generated over $1 billion in sales. Today, Kajabi is used by over 19,000 subscribers. Kajabi brings together people's passion and expertise with technology and encourages online business owners to make a difference. Based in Irvine, California, Kajabi was co-founded by Kenny Rueter in 2010. Learn more at www.kajabi.com.
About Spectrum Equity
Spectrum Equity is a leading growth equity firm providing capital and strategic support to innovative companies in the information economy. For over 25 years, the firm has partnered with proven entrepreneurs and management teams to build long-term value in market-leading software, information services and Internet companies. Representative investments include Ancestry, Bats Global Markets, Definitive Healthcare, GoodRx, Grubhub, Jimdo, The Knot Worldwide, Lynda.com, SurveyMonkey, and Verafin. For more information, including a complete list of portfolio investments, visit www.spectrumequity.com.
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