Estimated Value: $250 million

Business: Runs a site and manufacturing business allowing customers to create and custom design everything from T-shirts to coffee mugs to bumper stickers.

Location: Redwood City, CA

More Info: About Zazzle

CEO: Robert Beaver

Investors: Kleiner Perkins Caufield & Byers, Sherpalo Ventures

Analysis: The business? Put custom images on t-shirts, mugs, etc. The images can be licensed or original. If someone uploads their own design on Zazzle, they get 10% of future sales revenue (Designers can also make the royalty higher, and Zazzle will adjust the item price accordingly). Zazzle has licensed images and art from Walt Disney, Lucasfilm, 20th Century Fox, Warner Music, and others.

In 2006 Forbes reported that Zazzle was generating $20 million in revenue with a gross margin of about 50%. We estimate that revenue will hit at least $80 million in 2008. We apply a 4X multiple to arrive at a valuation of about $250 million.