Care.com
| Company type | Subsidiary |
|---|---|
| Industry | Online marketplace, caregiving services |
| Founded | 2006 |
| Founder | Sheila Lirio Marcelo |
| Headquarters | Dallas , United States |
Area served | United States, United Kingdom, Canada, Western Europe |
Key people | Brad E. Wilson (CEO) |
| Products | Childcare, senior care, special needs care, tutoring, housekeeping, pet sitting services |
| Parent | IAC |
| Website | care |
Care.com operates as a digital platform that links families with a variety of service providers, including those specializing in childcare, senior care, assistance for special needs, tutoring, housekeeping, and pet sitting. It also serves as a job marketplace for caregivers seeking employment opportunities. Via its corporate division, Care for Business, the company delivers caregiving benefit solutions to employers such as Google, Facebook, Starbucks, and BestBuy.
The company is based in Dallas, Texas, with additional offices located in New York, Shelton, and Berlin. Prior to its initial public offering in January 2014, Care.com secured $111 million through venture capital funding. In February 2020, IAC acquired the company for roughly $500 million, resulting in Care.com transitioning from a publicly traded entity to a subsidiary. As of June 2023, Brad E. Wilson holds the position of CEO.
History
The inception of Care.com traces back to its founder Sheila Lirio Marcelo, who was motivated by personal difficulties in arranging care for her children and elderly relatives. The service connects families with various caregivers such as nannies, senior care specialists, pet sitters, tutors, and housekeepers. Users can choose from basic or premium membership plans and benefit from on-demand booking features.
In 2007, the company raised $3.5 million in a Series A funding round led by Matrix Partners, which included investment from Reid Hoffman. Although some media sources questioned the legitimacy of Care.com's data origins at the time, Matrix Partners refuted any allegations of misconduct.
By 2012, Care.com had broadened its international reach by launching services in the United Kingdom and Canada and acquiring Betreut.de based in Berlin. This expansion extended its footprint to more than twelve countries across Western Europe. In 2013, the company's app Karoo received a Webby Award but was subsequently discontinued.
Toward the end of 2013, Care.com filed for an initial public offering after having garnered $111 million from investors including Matrix Partners, Trinity Ventures, New Enterprise Associates, USAA, and Institutional Venture Partners. The company debuted on the New York Stock Exchange in January 2014 under the ticker symbol "CRCM," with shares priced at $22.55—exceeding initial estimates by 30%—marking Boston’s first venture-backed technology IPO in nearly two years.
In both 2015 and 2019, Care.com encountered criticism regarding lapses in background checks and inaccuracies related to daycare provider licensing information. The company addressed these concerns by removing listings that lacked verification and improving its screening measures to enhance user safety.
In December 2019, IAC announced its intention to acquire Care.com for $500 million; this transaction was completed in February 2020 and resulted in Care.com's removal from the NYSE. Following the acquisition, IAC executive Tim Allen assumed the role of CEO. During the COVID-19 crisis, Care.com collaborated with state agencies and nonprofit organizations to assist frontline workers with their caregiving requirements.
In August 2024, Care.com agreed to disburse $8.5 million in refunds as part of an FTC settlement concerning allegations about misleading caregivers on job availability and payment rates as well as difficulties canceling memberships. The company clarified that this settlement did not constitute an admission of fault but was a strategic choice to prioritize customer service improvements.
By June 2025, Care.com underwent rebranding to highlight its growth beyond solely childcare services into broader caregiving categories such as senior care, pet care, home support services, and camp searches—catering to the demands of America’s sandwich generation.
Debate Surrounding the Concept
Prior to launching Care.com, Sheila Marcelo held the position of Entrepreneur in Residence at Matrix Partners. During this period, she and Matrix partner Nick Beim engaged with the founders of Sittercity.com and Sitters.com—both established platforms for locating caregivers—to explore potential investments and Marcelo’s prospective leadership as CEO. Ultimately, Matrix Partners chose not to fund these companies. Several months afterward, Marcelo initiated Care.com, obtaining $3.5 million in Series A financing from Matrix Partners, with participation from LinkedIn co-founder Reid Hoffman.
Mike Cravens, who started Sitters.com, accused Marcelo and Beim of thoroughly examining his business during these discussions and subsequently leveraging that knowledge to develop Care.com. He presented emails in which Marcelo suggested she would refrain from competing with Sitters.com by founding a rival company.
Reports and Publications
Since 2013, Care.com has released its annual Cost of Care report, offering exclusive data on child care expenses across the United States along with recommendations for families aiming to minimize costs. This publication reinforces Care.com's status as a leading authority in the child care industry.
Beginning in 2021, the company broadened its research scope to assess shifting workplace caregiving trends and their influence on employee benefits programs. These findings guide Care.com's strategic direction and underscore its involvement in advancing employer-supported family care initiatives.
Corporate Acquisitions
| Company | Year |
|---|---|
| Breedlove & Associates | 2012 |
| Besser Betreut GmbH. | 2012 |
| Parents in a Pinch | 2012 |
| Citrus Lane | 2014 |
| Town + Country Resources | 2018 |
| Galore | 2018 |
| Trusted | 2018 |
| LifeCare | 2020 |