Scaling to $10 Million from Kentucky: Steve Huey, CEO of Capture Higher Ed (Part 7)

Steve Huey: University of Pittsburgh is a client, and we’ve had conversations with people at Princeton. Some of these schools have more applicants than they need. What they’re chasing is the right applicant. By understanding the behaviour of students and their families, you can market to them that you can assist them in finding the information they need. This has changed the game for us. In the past, we’ve had a lot of schools that you would not know. Now, most of the schools that we’re working with or are signing contracts with are playing football on Saturdays and are actually very selective schools. We still like serving the traditional schools that we’ve served in the past, but it certainly is nice to have two of your clients play football against each other on ESPN Sunday Night Football. That was the inflection point in our company. Over the last eight months, we’ve doubled. We’ve doubled the people, and we’ll probably end up doubling again.

Sramana Mitra: The company is self-funded?

Steve Huey: We have angel investors and a few small private equity groups involved. We’ve raised over $3 million at this point in two rounds. One was in 2013 and we had a small bridge round this year.

Sramana Mitra: What’s the total amount that you’ve raised?

Steve Huey: Approximately $3.2 million.

Sramana Mitra: Are these from investors from the local area?

Steve Huey: Yes, they’re all local. We have a lot of angel investors and a few small funds.

Sramana Mitra: What are the expectations of your investors? Is it the standard VC expectation that you’re going to sell the company and give them return on investment, or is there another discussion around dividends or anything different?

Steve Huey: It’s the standard. They expect us to grow the company and at some point, sell the company.

Sramana Mitra: Very good. Thank you for taking the time.

Steve Huey: Thank you. I appreciate the work that you’re doing. We need people like you doing what you’re doing.

Sramana Mitra: Thank you.

This segment is part 7 in the series : Scaling to $10 Million from Kentucky: Steve Huey, CEO of Capture Higher Ed
1 2 3 4 5 6 7