Substack

Hi Paul! When we file our paperwork with the SEC (estimated in the next 1 - 2 weeks), we’ll include two years of audited financial statements. If you place a reservation now, you’ll be asked to confirm it at that time – so you can make a final decision on whether to invest after you’ve seen more information.

Hi Dylan, Thanks for the question. We’re not able to provide much information in the way of projections, per guidance from Wefunder. But you can check out where we’re headed under the “The opportunity for subscription networks” section of our profile: wefunder.com/substack When we file our paperwork with the SEC (estimated in the next 1 - 2 weeks), we’ll include two years of audited financial statements. If you place a reservation now, you’ll be asked to confirm it at that time – so you can make a final decision on whether to invest after you’ve seen those financial statements.

Thanks for the question, G. We’ve responded about this elsewhere, but we’re not going to disclose our 2022 financials. We’ve shared detailed financial information, including two years of audited financial statements and additional data on Substack’s growth since then. We’re still a private company operating in a competitive landscape. Substack is a startup on an extremely ambitious mission, and success is far from guaranteed. You should not invest any funds in this community round unless you feel comfortable.

Hi Nathan, Investors this round are getting Series B Preferred Stock (the same class of stock we sold in our Series B). That stock doesn’t guarantee dividends, although it is possible some would be issued in the future. We don’t have an auto-invest feature for subscription revenue set up – our expectation is that the round will be closed sometime in the next several weeks.

Hi Joseph! Suzanna from Wefunder here – Substack is raising at a $585M pre-money valuation. Your exact ownership percentage will depend on how much we end up selling in this round extension, but with a $100 investment it would be less than 0.01% of the company. The price per share is about $26, so your $100 investment would buy about four shares. Of course, the Substack team is intending to grow that valuation, so that the value of your investment grows - but nothing is guaranteed in startup investing, and you should only invest what you’d be comfortable losing. If you have any other questions about the mechanics of investing, we’d be happy to answer them at support@wefunder.com as well.

Hi Shukant! Thank you for your question. A publication is much more powerful when hosted on Substack than it could be elsewhere. Substack’s most powerful feature is growth. The Substack Network drives more than 40% of all subscriptions across the platform, and 15% of paid subscriptions. There are millions of readers with email addresses and credit card information already in the Substack system, making them 3x more likely to pay for a subscription to a publication on Substack. That means writers get readers and money for free just by publishing on Substack. And we have a world-class product team that rapidly builds the features that are requested by top publishers to ensure they have sufficient control over their publications and aesthetics. You can read more about this here: on.substack.com/p/growth

Hi Mikayel! Thanks for your questions. While we cannot disclose the specifics of each writers' individual experience with Twitter traffic, we're proud that the Substack Network now drives 40% of all free subscriptions and 15% of paid subscriptions on the platform. We’re glad to see that the suppression of Substack publications on Twitter appears to be over, and we believe that Twitter and Substack can continue to coexist and complement each other.

Hi Daniel! We'll continue to accept investments for the next 1-2 weeks, until our paperwork is filed and investors confirm their investments. If we're oversubscribed, we may not be able to accept all investments and may reduce individual investments - in which case people will be refunded for the difference. In that case, we’ll prioritize Substack writers who have turned on paid subscriptions and paying subscribers.

Hi James, thanks for the question. See Chris' response to Elle in the same vein wefunder.com/comments/240710 We’ve got a big mission. While we can’t supply a timeline here, we think the best way to achieve our mission is to build a successful independent company, which could involve going public one day, but for now we are focused on building.

Hi Elle. We are working on a new economic engine for culture, which is a big mission. We think the best way to achieve that is to build a successful independent company, which could involve going public one day, but for now we are focused on building. You can read more about our future plans under the “The opportunity for subscription networks ” section of our profile: wefunder.com/substack All that being said: investing in any startup is risky, and the timing is uncertain, so don’t invest more than you can afford to lose.