Online Inspiration

PLAXO Founded: 2000 Investment type: Venture capital Facebook connection: Founder Sean Parker now lives and works at Casa Facebook The
By FM Staff

Founded: 2000

Investment type: Venture capital

Facebook connection: Founder Sean Parker now lives and works at Casa Facebook

The story: Having amassed an unmanageable number of contacts over the course of Napster’s legal battle, Sean Parker had an idea for an electronic address book tool that would automatically organize and update contact information. Plaxo partnered with Sequoia Capital to launch the project. To date, Sequoia has helped Plaxo raise $20 million in venture money. Four years later, Plaxo now has more than five million users and is on its way to becoming a profitable corporation. The only thing Plaxo doesn’t have is Parker, who left the company in April of last year. The San Jose Mercury news reported disagreements with the board, but cofounder Masonis says the reason is not so dramatic: Parker is an idea man, and, as the site reached a level of stability, he felt his job was done. Whatever the case may be, the board has found a new CEO, Ben Golub, former vice president of marketing for VeriSign, Inc.

HOTORNOT.COM

Founded: 2000

Investment type: None

Facebook connection: Zuckerberg was Ad-boarded for launching his own HotOrNot parody at Harvard. When he moved to California, he got the chance to meet the founders of the original site.

Story: James Hong and Jim Young founded HotOrNot in their living room and that is where it has stayed. The site is making money – not millions, but enough to survive, Facebook founder and friend Jonathan Abrams says. Hong and Young have turned down buy-out and investment offers – putting living room fun over corporate malaise.

COLLEGEBOXES.COM

Founded: 2000

Investment type: Angel investors

Facebook connection: In his relationships with advertisers, Saverin studied a number of college startups. He says Collegeboxes has a business strategy with which TheFacebook can identify.

Story: The CEO of the storage and delivery service, Scott Neuberger, says all those who have invested in Collegeboxes have personal relationships with the project team. Relatives, family friends top the list of investors. They’ve raised enough money to expand to 30 schools nationwide, but they’ve also managed to maintain creative control; investors trust the team to make the right decisions, says vice president Josh Kowitt.

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