Webflow secured a $140 million Collection B after it doubled its buyer base final 12 months, elevating its valuation to $2.1 billion.
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The spherical was led by returning traders Accel and Silversmith, and included participation from new investor CapitalG and all current traders.
The San Francisco-based firm permits customers to construct and design web sites with out coding. The corporate—with clients ranging in measurement from freelancers and small businesses to giant enterprises—reached 100,000 paying clients and greater than 2 million customers final 12 months as extra companies made investments on the digital aspect through the COVID-19 pandemic.
“There was an enormous rush of companies—that we primarily consider as bodily—that invested in digital,” mentioned co-founder and CEO Vlad Magdalin.
Transferring previous web sites
Webflow will use the brand new proceeds for quite a lot of initiatives, together with including to the corporate’s 200-plus worker base, taking a look at acquisitions and including new options, Magdalin mentioned. Webflow competes on some ranges with corporations equivalent to Squarespace and the open-source platform WordPress, he added.
Nonetheless, the corporate additionally will look to develop its choices past serving to corporations and organizations construct web sites and into functions, he added. Magdalin based Webflow in 2013 with the imaginative and prescient of permitting shoppers to make use of expertise to construct web sites without having to know difficult code, and functions are the following step, he mentioned.
That imaginative and prescient helped entice Accel as an investor, mentioned Arun Mathew, a associate on the agency.
“Basically, we will’t consider a much bigger market than democratizing software program improvement,” he mentioned.
The time was proper to speculate with the digital market taking off and with the corporate outperforming expectations since elevating a $72 million Collection A in August 2018, Mathew mentioned. Webflow — which has now raised $215 million in accordance with the corporate—nonetheless has but to make use of that Collection A cash, because it was money move optimistic final 12 months, he added.
Attracting curiosity
As its market has grown, Webflow already has attracted “tons” of acquisition curiosity from suitors, Magdalin mentioned. Nonetheless, an M&A exit may curtail the corporate’s general imaginative and prescient of permitting everybody to develop utility software program, he mentioned.
As a substitute, Magdalin mentioned he seems to be at Webflow as remaining its personal unbiased firm. He pointed to e-commerce large Shopify for example of what will be completed when an organization makes an attempt to democratize a sector to some extent.
Shopify now has a $144.5 billion market cap.
Mathew mentioned he’s extra involved with the corporate persevering with on its trajectory than an exit.
“For those who try this you should have a ton of choices,” he mentioned.
Illustration: Li-Anne Dias.
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