With a surge in new creators on its platform, Patreon is now valued at $1.2bn after securing $90m in new funding.
Patreon, a platform that allows people to give regular donations or subscribe to content from their favourite creators, has achieved unicorn status after announcing a new round of funding. In a blog post, its founder and CEO Jack Conte announced the company had raised $90m in new funding which, according to The Wall Street Journal, now gives it a valuation of $1.2bn.
The business was founded in 2013 as a way for creators, artists and musicians to earn money outside of advertising revenue on sites such as YouTube. Patreon now has more than 200,000 creators signed up to the platform, up from around 100,000 last year, who have collectively earned $2bn to date. There are approximately 6m subscribers donating to creators on the platform.
The company was last valued at $660m following a funding round last year, and this latest round of Series E funding brings its total raised to $255m.
New investors in the company include New Enterprise Associates, Wellington Management and Lone Pine, with participation in the latest round from existing investors such as Glade Brook Capital, Thrive Capital, DFJ Growth and Index Ventures.
‘This moment is a big deal’
The new funding is expected to go towards further international expansion following the opening of its Dublin and Berlin offices earlier this year, as well as increasing the ability to pay with additional global currencies.
Conte also said that Patreon will be putting the funding towards new features such as updated messaging for both creators and patrons, as well as building new discovery tools to help creators grow their audience.
“This moment is a big deal because it proves that the world is changing,” Conte said.
“Being a professional artist is no longer a dream but a reality for more people than ever before. The second renaissance has arrived and the creative class is crushing it.”
When the company announced the opening of its Dublin office last year, it said the plan was to create 30 roles within its product, engineering and general administrative teams.
The Patreon app. Image: opturadesign/Depositphotos