Paul Edmondson, 33, landed $2 million for his company after responding to a blog post by Will Price, a managing director at Hummer Winblad Venture Partners. Edmondson, the CEO and co-founder of Hubpages, an ad-optimization and online publishing company, learned through Price's blog that Hummer Winblad targets early stage software companies in its region. Since that description fit San Francisco-based Hubpages, Edmondson shot Price a quick e-mail, introducing himself and asking if Price might be willing to hear a pitch.
"Will wrote back to me in seconds," says Edmondson. "You always hear you need an introduction, but you don't." Within 10 days of that initial e-mail, executives at Hubpages met with Price, then with Hummer Winblad's full team, and signed a funding deal. Hubpages projects 2008 sales of more than $1 million.
Early stage funders are more active bloggers than later-stage funders, says Price, as early funders need to search widely to find promising emerging companies. "We want to see as many ideas as we can," he says.
Sometimes, a VC discovers a company via the company's blog, rather than the other way around. Case in point: Brad Feld, a blogger and managing director of Mobius Venture in Boulder, Colorado, tried out a tool from online-feed manager FeedBurner on his blog, Feld Thoughts, after a fellow VC blogger recommended the service. Feld liked FeedBurner's offering and contacted the company with feedback. Then he asked to meet the team, says FeedBurner's co-founder and former CEO, Dick Costolo, 44. Mobius ended up leading a $7 million funding round for FeedBurner in 2005. That funding helped FeedBurner grow until it was acquired by Google last May for an undisclosed sum.Ready to look for VC bloggers? The investment website Seeking Alpha lists 15 venture capitalists who blog regularly.