BEND, OR and BOSTON, MA G5, the leader in vertical-specific Local Marketing Solutions, announced today that it has closed its first institutional round of financing. The $15 million investment was led by Volition Capital, a growth equity firm that invests in high-potential, founder-owned technology companies. The proceeds will be used to accelerate development of G5’s Local Marketing Software Platform and to enhance G5’s leadership in its core verticals. Roger Hurwitz, Managing Partner at Volition, and Sean Cantwell, Principal at Volition, will join G5’s Board of Directors.
“Volition’s partnership is a great vote of confidence in G5’s mission to deliver the most sophisticated local marketing technology platform in our select verticals,” said G5 CEO Dan Hobin. “The Volition team has significant experience working with high-growth SaaS businesses like ours, and we’re thrilled to have Roger and Sean joining the G5 team.”
The G5 Platform currently serves more than 160 clients and over 2,400 properties within the Multifamily Housing, Self Storage and Senior Living sectors. G5 helps companies like Trammel Crow Residential, Riverstone Residential, Greystar, The Carlyle Group, Silverado Senior Living and Metro Self Storage leverage the Web to increase revenue, reduce ineffective marketing spend and increase net operating income.
The funding follows yet another record-breaking quarter for G5. In Q2 2010, the company posted its 20th consecutive quarter of record revenue. G5 attributes its success to capitalizing on the paradigm shift in local advertising, where businesses are increasingly transitioning their marketing dollars online. According to Borrell Associates, Local Online Advertising is projected to grow from $8.9 billion to $16.4 billion by 2013.
“G5 is constantly evaluating new technologies and services that will drive better business results for our clients,” said G5 CFO Greg Meier. “Volition is an ideal partner to provide us with the guidance and resources required for our next stage of growth.”
“G5 provides a compelling value proposition and measurable ROI with its holistic solution that combines software, marketing and vertical expertise,” said Roger Hurwitz. “We are excited to partner with such a strong entrepreneurial team that is well-positioned for long-term success given its unique offering and focus on delivering great results to its customers.”
G5 is the leading provider of Local Marketing Solutions that help mid-market companies get found online, generate more qualified leads, convert more leads into new customers, analyze marketing performance – including offline, and optimize to the marketing sources with the best return on investment. G5’s Local Marketing Software Applications & Services provide clients with more customers and better business performance. The Bend, OR-based comapny was recently named the 146th Fastest Growing U.S. Private Company by Inc. magazine. For more information, please visitwww.G5platform.com.
About Volition Capital
Volition Capital is a growth equity firm established in 2010 that focuses on investing in high-growth, founder-owned technology businesses across the U.S. and Canada. Volition Capital looks to invest in companies with revenue between $5 million and $50 million and have demonstrated capital efficiency. Volition Capital specializes in software, Internet, information services and technology-enabled services companies that have operating discipline and aspirations for greatness. For more information, please visit www.volitioncapital.com.