Angels Back Gay Network

Friends You Know is beta testing its LGBT social network after raising $350,000 from a cadre of Illinois-based investors, regulatory filings show.

Funding comes from CEO Matthew Small, the Eugene B. Shapiro Revocable Trust, the Vicki Lehrner Adams Revocable Trust and the Daniel T. Zagorin Trust, according to the filings.

The company has targeted $4 million for its Series A.

It should come as no that a social network for the LGBT community might attract angel financing. It’s a justifiably big market. Wikipedia reports that somewhere between 1% and 10% of the population is exclusively homosexual.

Friends You Know may face stiff competition, however. TechCrunch writer Marshall Kirkpatrick offers an informative survey of eight other social networking sites targeted at the same market. Mashable’s Pete Cashmore offers another four gay social networks launched last year.
Friends You Know’s financing is proof that social networking remains a popular place for early stage investors. More than 30 social networking companies got funding last year. My colleague Joanna Glasner had a a great story on the shocking trend (available here to VCJ Subscribers).

Oldster Network Ups Series A

In other social networking news, TeeBeeDee has increased the size of its Series A, according to a regulatory filing.

The company, which is building a social network for the elderly, announced it had raised $4.8 million last fall, but has since increased its target to $7.81 million.

It has raised $6.3 million of that target from 18 investors so far, according to the filing. Backers listed include Shasta Ventures, Monitor Venture Partners, the Melone Family Trust, David Nierenberg and Bruce Rauner.