SM: Who accredited your school and what was that process? CY: The Middle States Accreditation Body visited our school and we went through a very complex rubric of their criteria. At that time we gained preliminary accreditation.
SM: Do you provide the teachers and the curriculum? CY: We do provide both; however, the curriculum is our primary focus. Our curriculum consists of online courses that students log into. Each course has a series of units. Each unit requires reading, which can include e-books or articles, as well as projects that students do
SM: When you worked for IBM, what were you doing there? CY: I was working in the e-business sector. I was leading the teams that were doing business engineering at the same time the technology fixes were going on. When a company would Web-enable a legacy system, my teams would be working with the business
Caprice Young is the president and CEO of KC Distance Learning and was formerly vice president of business development and alliances of Knowledge Universe. Prior to joining KU in September 2008, Caprice was president and CEO of the California Charter Schools Association. From 1999–2003, Caprice served as a member and president of the Los Angeles
SM: I talk to a lot of SaaS companies and have noticed that there is a big trend in terms of near-shoring. A lot of companies are moving to affordable areas such as Montana, Wyoming, and Tennessee. You can get good labor arbitrage within the United States. RR: We do have a second sales center
SM: Aside from educating your potential customers, what else governs your growth? RR: We are a very profitable company. Our guidance for 2009 is an 18% operating margin. We have delivered a balanced growth and profitability model to our investors. I could take profitability down to zero and put that money into sales and marketing
SM: What does a corporate department pay to use your service? RR: It depends on size. For the mid-market, meaning companies ranging from $5 million to $500 million in revenue, on average pay us $9,000 to $10,000 per year in annual subscriptions. The range can start as low as $3,000 per year and it could go
SM: I am assuming you raised a second round. When was that? RR: We then raised a second round of $12 million. That was in the fall of 2000. It was only eight months later. Our valuation increased during that time by five times.