Online photo site Shutterfly has landed a $3 million investment from Silicon Valley Bank. The Redwood City, Calif.-based company said it plans to raise a closing round of funding by early next year that will push it toward profitability.
Shutterfly launched with fanfare in late 1999 with the backing of Netscape Communications co-founder Jim Clark. In March, it received another $10 million from Clark and Mohr Davidow Ventures. But the company also lost its chief executive that month and reduced its staff from 120 to 90 employees in its efforts to restructure the company and cut costs. In April, the company named Andy Wood, formerly CEO of Sevant, to head Shutterfly.