SiteWit: How to Close a $5M Round on a $36M Valuation

As a small business owner, digital marketing can often seem complex and convoluted. With things like SEM, SEO, and PPC, it can be easy to get stuck in the weeds and waste hours of valuable time navigating a seemingly foreign language.

Thankfully for business owners, SiteWit provides a do-it-yourself, automated big data driven approach for website and paid search optimization for major web and marketing platforms. Tying directly into platforms like Wix, Weebly, and Shopify, their software provides companies with analytics, keyword engagement metrics, lead generation, search engine marketing, and more.

How much is SiteWit doing in MRR?

SiteWit generates revenue by charging a 20% fee for all advertising budgets managed on their platform. On average, their customers spend between $300 and $500 on marketing monthly, generating approximately $30 to $60 in bottom line revenue for the company each month.

With more than 10k total paying customers, SiteWit is rapidly approaching $300k in MRR today, according to CEO Ricardo Lasa. The company is exhibiting healthy growth and has more than doubled revenue year over year with most of this expansion attributed to increasing customer count.

What is SiteWit’s churn?

Churn is critical in any business, especially one playing the in SMB space. SiteWit has displayed varying levels of churn based on their cohorts, but logo churn is typically between 30% and 45% annually at this point in time.

SiteWit acquires a majority of their customers through partnerships today. While specific percentages were not disclosed, the company participates in on-going revenue shares with their partners.

How much has SiteWit raised?

Launched in 2010, SiteWit has raised $7M total capital to date. Lasa noted that this capital was raised in a handful of smaller rounds and that the company has just closed a larger Series B with the same group of investors. SiteWit just completed a $5M round at a $36M pre-money valuation.

SiteWit’s team of 20 full-time employees is headquartered in Tampa Bay.