Canva is now valued at $40bn after raising $200m in its latest funding round, a 40-fold increase in value in just four years.
The private design software company made the announcement yesterday (14 September) along with a blog post written by co-founder and CEO Melanie Perkins on the company’s future plans.
T Rowe Price led the funding round, which saw participation from new and existing investors including Franklin Templeton, Sequoia, Bessemer, Greenoaks, Dragoneer, Blackbird, Felicis and AirTree.
“Visual communication has emerged as a universal need for teams of every size across almost every industry,” said Perkins. “It has been incredible to see the continued growth of Canva across the globe over the last year.”
She said that more than 60m active users from across 190 countries now use Canva for their design needs every month, including start-ups, non-profits, students, work teams, and big global brands. “We’re incredibly excited to be further accelerating our mission to truly empower the world to design.”
The fresh round of funding will be used to expand Canva’s team of more than 2,000 employees – which it hopes to double within the next year. The company has added half of its existing employees in the last 12 months alone.
Canva said that its users create on average 120 designs every second and, to date, it has been used to create more than 7bn designs. This is reflected in the company’s incredible growth over the past year – in which it has more than doubled its revenue. It says it is on track to exceed $1bn in annual revenue at the end of this year.
Alan Tu, portfolio manager of T Rowe Price’s global tech fund said that the need for both visual communication and online collaboration has become “increasingly paramount and is driving Canva’s exceptional growth and adoption in teams and workplaces of every size and across many industries.”
The company said that teams using its services has increased by more than four times and now includes Fortune 500 companies such as Zoom, Salesforce, Marriott International, PayPal and American Airlines.
Wendy Bergh, head of digital and online at Zoom, said that her company will be using Canva to manage its global brand assets and campaigns. “With millions of people around the world using Zoom, Canva will play an important role in helping us to continue scaling our brand and marketing efforts while empowering our rapidly growing team to create content at speed.”
Because of a remote work-spurred growth in demand for visual communication tools, Canva has become popular among work teams. More than 6m presentations are created on the platform each week – tripling in the last 12 months. The company also said that new services are in the pipeline for launch later this year, including a video editor, website creator and an offline mode feature.
‘Many years in the making’
Perkins laid out the company’s next set of goals in a ‘note to the Canva community’ blog post on Medium and said that the news of its latest impressive valuation has been “many years in the making.”
“Back in 2012, we set out with the crazy big goal of empowering the whole world to design. We believed that design was something that should be accessible to everyone, not just a privileged few,” she said, adding that Canva’s next steps are to become one of the most valuable companies in the world and to “do the most good we can.”
With more than 500,000 paying teams on board and heavy investment in catering to the needs of large organisations, she said that Canva is also investing in the education sector to democratise design – and is used by more than 10m students and teachers across the globe.
Perkins also said that the company’s philanthropic goals are being met by its commitment to the 1% pledge, where Canva will give 1pc of its equity, profits, time and products to “be a force for good in the world”.
She also announced that, along with co-founder Cliff Obrecht, she will be committing a “vast majority” of their 30pc stake in Canva for charitable causes. “We have this wildly optimistic belief that there is enough money, goodwill, and good intentions in the world to solve most of the world’s problems, and we want to spend our lifetime working towards that.”
The post Canva is now worth $40bn and on track to exceed $1bn in revenue appeared first on Silicon Republic.