Sprout Social Nabs $10M Series B

Sprout Social, a company that helps businesses manage customer relations across social networking tools like Facebook, Twitter and LinkedIn, has raised $10 million in Series B financing. New Enterprise Associates led the round, which will go toward business development and product strategy, the company said. Sprout Social is based in Chicago.

Sprout Social, a leader in social media management tools for business, announced today the recent completion of $10 million in Series B venture funding led by New Enterprise Associates (NEA) to fuel business development and product strategy.

Sprout Social offers business customers a platform to manage customer relationships and new customer engagement across the social web. Businesses can manage their entire social presence, including Twitter, Facebook, Foursquare, LinkedIn and others from a single, powerful interface. Features include cross-network reading/posting, contact management, brand monitoring, message scheduling, reporting and analytics, location targeting and more.

“Sprout Social is embracing an increasingly powerful segment of the market in online commerce — the local business,” said NEA General Partner Harry Weller. “Sprout Social’s powerful platform will allow those businesses to manage and extend their relationships with customers across a range of social media channels.”

“NEA has a phenomenal team and shares our vision and ambition — it’s an excellent fit,” said Justyn Howard, CEO of Sprout Social. “We’ve built a great foundation and a product people love. Our relationship with NEA will allow us to grow and cement our position as a market leader.”

While Sprout Social has customers of all sizes, their Social Relationship Management (SRM) platform is particularly appealing to small and local businesses, where the 1-to-1 relationships it helps create have the most value. “Social Media provides the largest opportunity for growth for SMB’s in the history of commerce. Our job is to make sure they have the tools to capitalize on that,” says Howard.

Sprout Social’s initial funding came from Lightbank, the venture capital firm led by Groupon Co-Founders Eric Lefkofsky and Brad Keywell.

For more information or to start a free 30-day trial, visit www.SproutSocial.com.

About NEA

New Enterprise Associates, Inc. (NEA) is a leading venture capital and growth equity firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With approximately $11 billion in committed capital, NEA invests in information technology, healthcare and energy technology companies at all stages in a company’s lifecycle, from seed stage through IPO.

About Sprout Social:
Sprout Social delivers comprehensive tools that allow businesses to efficiently and effectively manage and grow their social presence across multiple channels and turn social connections into loyal customers. The web application integrates with Twitter, Facebook, LinkedIn, Foursquare and other networks where consumers are engaging with businesses and brands. In addition to communication tools, Sprout Social offers contact management, competitive insight, lead generation, analytics and more — all in a package that’s intuitive and easy to use. The company recently received Series A funding from Lightbank, the investment vehicle launched by founders of the popular Groupon social coupon platform. For more information, visit http://www.sproutsocial.com.