As part of a $50 million funding round, the Facebook founder has invested in education platform, Varsity Tutors. The news comes following Varsity Tutor’s acquisition of UK-based tutoring company First Tutors.
The funding round, which was led by Learn Capital, saw the Chan Zuckerberg Initiative and Technology Crossover Ventures invest in the company, bringing the Missouri-based platform’s total funding to $107 million.
Varsity Tutors offers in-person and online tutoring, and charges students approximately $50 per hour. The majority of the company’s 40,000 tutors are made up of K-12 students.
It’s reported that around 60% of the company’s business is generated through online tutoring, with 10% generated from their ‘instant tutor’ service.
Vivian Wu, Managing Partner of Ventures at CZI said:
‘We are excited to invest in Varsity Tutors given their leadership and success to date and their continued innovation to offer quality learning experiences to more students across different geographies, backgrounds and learning needs.’
Founder and CEO of Varsity Tutors, Chuck Cohn, commented:
‘We stopped thinking about Varsity Tutors as a marketplace for tutoring. We now think about it as live-learning platform where you connect with someone who has expertise in real-time.’
This news further confirms reports that the global tutoring industry will be worth an estimated $200 billion by 2020, as predicted by research firm Global Industry Analysts.
More information about the investment can be found on the Forbes website.
Image credit: Brian Solis