Wefunder is..

• one of the pioneering members of the equity crowdfunding space

• home of the Community Round

• the arch nemesis of my Chase Bank savings account

And now, it is opening a fresh funding round at a $290M valuation

This represents an 81% increase from their previous fundraising round in 2021 where they raised at a $160M valuation (full disclosure, I invested back then)

In 2021, Wefunder banked $10M in revenue, making their current valuation 29x last year's revenueWhile this may seem steep, it is a steal in comparison to StartEngine which is currently raising at roughly 46x last year's revenue

Will Wefunder's growth continue?

Wefunder has been steadily growing, doubling its revenue each year since 2018They've been the benefactor of favorable legislation and a new cohort of startup founders that are more receptive to equity crowdfunding as a funding source

According to Kingscrowd data, equity crowdfunding investment has slowed in 2022 - most likely a result of negative economic news and poor performance in public markets

A trip across the pond?

Looking into Wefunder's new raise, one of the key updates is their planned expansion to Europe

Wefunder's expansion to Europe will take place in the fall of 2022 and will be funded by their current investment roundFellow equity crowdfunding platform Republic recently acquired UK-based Seedrs, so the US competitors will soon be duking it out on the European continent

And there's a lot at stake - the EU + UK are projected to command close to $6B in market size

So, will I be investing?

I'll need some more time to digest the details, but I am very concerned that their below employee count is getting out of hand :D

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