VEED.IO Raised $35M from Sequoia

We just raised $35,000,000 from Sequoia!

But as a profitable boostrapped company doing +$6M ARR, you might ask yourself why?

Let's get into it!

1. Opportunities like this are rare.

We are in a big market and from the very start, our users have pulled the product out of us. It has never felt like we have had to push VEED uphill, the company wants to grow fast and we think we should give it the fuel to do so.

2. Technically, it's a hard product to build.

The resources we need to serve millions editing, rendering videos & sharing video is significant. As a bootstrapped company, we would make hires as our revenue grew. Now with funding, we can invest ahead of time.

3. A group of kids.

At the start, the team was in their 20's. Now our team is a lot more diverse for the better. Then, payroll scaled into hundreds of thousands and the stakes got higher. Small fluctuations in revenue per month no longer phase us, allowing us to build long-term

4. We raised later in the game.

If you can get to the position where you don't need to raise, any deal is "take it or leave it". For us, the most dilutive funding rounds were over. You can use your position to dictate the pace, secondary shares or special terms in the deal.

5. The right partners to work with.

I spoke with many of VC's. Some want to buy a part of your company and others want to back you. Luciana at Sequoia felt very much that she wanted to back us. And Instead of offering to be helpful, they proactively did.

6. Final Thoughts

Every founder, company & market is different. Should I raise or not? You have to pick the path that is best for you and your vision of the future. If you want to did deeper into our thinking, we wrote about it on our blog.

https://www.veed.io/blog/raising-series-a/