Square 1 Bank leads latest round of financing for fast-growing Facebook Strategic Preferred Marketing Developer
San Francisco, Calif. (Nov 14, 2012) – Spruce Media, the leading provider of enterprise-class marketing solutions for Facebook Ads, today announced that it has secured $15M in debt financing from Square 1 Bank (www.square1bank.com). Spruce Media continues to grow its market share by helping the most successful advertisers, agencies, and trading desks on Facebook drive consumers from likes to influence.
Spruce Media will use the financing to accelerate sales growth and further scale its technology development team. Additionally, Spruce plans to expand into additional U.S. cities, invest in its technology build out, and provide additional infrastructure for both its managed service and self-service business units.
Recent company growth highlights include:
- Between 2010 and 2012, Spruce grew annual ad spend on Facebook by more than10x; and the company has a $150M+ run rate for Facebook ad spend for 2012 based on current Q3 ad spend data.
- Spruce has maintained EBITDA profitability since 2010 amidst hyper growth in revenue, active customers, and employee headcount.
- Between 2010 and 2012, Spruce increased gross margin more than 17x; and increased gross margin by over 127% in 2012 alone.
- Between 2010 and 2012, Spruce doubled its customer base; and nearly doubled it again in 2012 by increasing it 81%.
- Spruce Media was recently designated a Strategic Preferred Marketing Developer by the Facebook® PMD program, the highest distinction of excellence Facebook has ever offered PMD members.
- Spruce Media increased its headcount by 140% in 2012, and now has more than 60 employees across the U.S.; in recent months the company has added headcount in sales, engineering, products, operations, and account management roles.
- Recent executive hires include early Rocket Fuel Inc. employee Brian Ferrario, who joins Spruce as vice president of marketing, and Justin Kistner, who joins Spruce as senior director of product. Ferrario joined digital advertising technology company Rocket Fuel as employee number 13 four years ago and was instrumental in helping the company achieve record category growth, numerous innovation, cultural, and revenue awards, and huge traction in the market with over 700 top brands including 74 of Ad Age’s Top 100 Leading National Advertisers, and 43 of the Fortune 100. Kistner spent three years at Webtrends as the director of social products and was responsible for the development of Facebook Analytics as well as Webtrends end-to-end Facebook campaign solutions. He was instrumental in establishing the partnership with Facebook that made Webtrends one of ten companies to have more than three Preferred Marketing Developer badges.
- “We’re growing fast, and that usually puts you in the red,” said Rob Jewell, Founder and CEO of Spruce Media. “But sales have been way ahead of our expectations due to strong renewals and increased budgets from existing customers, and we’re seeing higher initial order sizes from new customers as we’ve become more of a trusted player in the Facebook marketing ecosystem. We’ve also seen increased sales activity as a result of being named one of twelve Facebook Strategic Preferred Marketing Developers.”
- “Spruce Media has built a successful business with a history of exceptional performance for large brands,” said Mike Griffin, Vice President, Asset Based Lending at Square 1 Bank. “We are delighted to contribute to Spruce’s rapid growth in the social marketing ecosystem.”
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About Spruce Media:
Spruce Media is the leading provider of enterprise-class marketing technology that delivers real results at scale, and drives consumers from likes to influence for the most successful advertisers, agencies, and trading desks on Facebook. Recently named one of 12 Facebook Strategic Preferred Marketing Developers, the highest distinction of excellence offered, Spruce has pushed over 300-billion impressions through its software and is the technology of choice for the largest advertisers on Facebook. Founded in 2010, Spruce has developed a robust solution integrating ad creation, bid management, analytics, and reporting into one easy to use, yet powerful interface, which can be licensed or coupled with managed services. Spruce Media is based in San Francisco and has sales offices in Los Angeles, Dallas, Chicago, Minneapolis, Washington D.C., and New York.
About Square 1 Bank:
Square 1 Bank is a full service commercial bank dedicated exclusively to serving the financial needs of the venture capital community and entrepreneurs in all stages of growth and expansion. Square 1′s expertise, focus and strong capital base provide flexible resources and unmatched support to meet our clients’ needs. The bank offers tailored products and solutions aided by the latest in technological innovations. Square 1 has offices coast to coast in Austin, Boston, Denver, Durham, Los Angeles, New York, San Diego, Seattle, Silicon Valley and Washington, DC. For more information, visit www.square1bank.com.
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