Foursquare's Valuation More Like $6 Million

Earlier this week, we estimated — based on a semi-educated guess — that Foursquare’s recent financing valued it between $7 million and $14 million. That’s too high. (This isn’t 1999!)

After a little more education, our new estimate is that it’s between $6 million and $6.5 million, and that its investors — Union Square Ventures, O’Reilly AlphaTech Ventures, and some angels — picked up about 20% of the company for their $1.35 million total investment.

This makes more sense. Foursquare has good buzz, and received interest from several VC firms. But it’s still small — about 40,000 registered users, and little (if any) revenue. It’s currently working on a BlackBerry app and hiring another developer.

As always, contact us if you have better information. By email, [email protected], or via our anonymous tips box.

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