ReachLocal, which helps small businesses advertise online, has received a big $55.2 million round. The round was led by Rho Ventures, and included Galleon Crossover Fund and return investor VantagePoint Venture Partners…we confirmed it from the company spokesperson and the announcement will come tomorrow morning. ReachLocal’s platform allows small businesses advertise on search engines and online directories, with an eye towards limiting their display to those within a specific region.

According to LocalOnliner, this comes on top of the $12.7 million it has raised since its founding in 2004. The new funds give ReachLocal an estimated valuation of $305 million, at a pre-money valuation of $250 million, the post says, though we haven’t been able to confirm that. It sells for sites such as Yahoo (NSDQ: YHOO), Google (NSDQ: GOOG), MSN, AOL (NYSE: TWX) and Superpages.com.

Update: From LAT, a story on local advertising, and this funding: The services vary, but essentially small businesses hire these companies to buy keyword ads on major search engines such as those of Google, Yahoo and Microsoft (NSDQ: MSFT) Corp. Some companies track the results for their clients, be it through e-mails or phone calls. Now many of these companies are developing video and mobile technologies.