The photo sharing app, known for putting time limits on pictures sent, has reportedly received as much as $20 million from Silicon Valley venture capital firm Kleiner Perkins Caulfield & Byers.
The funding, in exchange for less than 1% holdings in the company, would push Snapchat's total valuation among the highest of start-ups, despite having made no revenue off of its 100 million monthly users. Advertising is expected to be integrated later this year, reports The Wall Street Journal.
Snapchat and Kleiner Perkins Caufield & Byers could not be immediately reached for comment.
The app, only three years old, has seen its private market valuation grow fivefold over last year's $2 billion as investors vie for a spot on the messaging service's ground floor.
Facebook reportedly tried to woo Snapchat with $3 billion at the end of 2013, a deal the fledgling business rebuffed. The acquisition would have made Facebook's 2010 acquisition of Instagram for $1 billion in cash and stock look comparatively cheap.
--Written by Keris Alison Lahiff in New York.