Service-Now, a Solana Beach-based software-as-a-service developer for incident and service management, has raised $41.3 million, according to a regulatory filing made on Dec. 8.
The filing indicates that the new funding came from Sequoia Capital and that most of the funding was used to buy the stock of the firm's executives. Sequoia said it will invest up to $75 million in Service-Now, but it is yet to be seen how many workers will take the chance and cash out their stock options.
The deal is scheduled to close on Dec. 29.
Camille Ricketts, writing for online executive news source VentureBeat, wrote that Service-Now's decision is likely an effort to "convince employees who endured leaner times to stick around for a potential public offering sometime in the next 18 months."
Ricketts sees the move as part of a growing trend among startups, with companies such as Facebook and Service-Now leading the way.