Another unprofitable company appears to be heading for a major payday with an IPO. Yelp hopes to raise $100 million from the offering, which would give the company a valuation of between $1 and $2 billion.
Founded in 2004, Yelp now boasts 22 million reviews and 529,000 locations. Co-founder Jeremy Stoppelman turned down a $550 million offer from Google in 2009. Despite generating $58.4 million net revenue through the first nine months of 2011, Yelp is still not profitable. It operated at a loss of $7.6 million.
Not the first company to go public with no sign of profitability though.