BulldogResearch.com to Take $10M Bite Out of Venture Capital Market

As its four-legged mascot began appearing on everything from telephone booths to bus stops last week, BulldogResearch.com Inc. was in the midst of hammering out a $10 million Series B venture deal that is expected to close within a few weeks.

The New York-based issuer was most recently in the private equity market last December when it raised $4.5 million from Vimac, Bain Capital Partners and Ibes International.

BulldogResearch.com is the brainchild of Wall Street veterans Michael Thompson and Brent Johnson. Its mission is to provide real-time analyst performance evaluations by using a quantitative metrics system to compare earnings between both particular analysts and particular firms.

While much of the company’s information is offered without a fee, the company is still able to raise decent revenue by selling a mix of applications to participating investment houses and selling personalized research modules to the buy-side.

“We are advancing on our revenue generation faster than anticipated so we’re scaling back [the venture deal] so as not to dilute ourselves too much,” Thompson said. “Down the road we’ll probably use bank debt funding for short-term cash flow needs sometime within the next 18 months.”

He added that a mezzanine round was possible, especially if there is continued investment interest from participating Wall Street firms. If such a deal is completed, each house will receive an equal equity share so as not to compromise the issuer’s status as a third-party evaluator status.