Is Webflow Being Sold? Is Insolvency a Risk?

Today's topic: What is the future viability of Webflow? How likely is it that Webflow will be sold? How liquid is Webflow as a company and how competitive is it compared to Squarespace, WIX, or Framer?

Elena asks:

Hi Jonas, thank you very much for the great course, really well explained and interesting, it's fun!
But I have a question about the “sustainability” of Webflow: In your opinion, how can it be a disadvantage that Webflow is a single company on which you, as a user, are virtually “dependent”? On the one hand, the site plans have already become significantly more expensive; CMS currently costs $23 - so I wonder whether this will be even more expensive in the future, which can be a problem especially for smaller customers (and therefore also for me if I have to argue for Webflow). On the other hand, the company could theoretically go bankrupt, then what? What is your assessment of this? Thanks in advance:)

What does the future of Webflow look like in general?

It is impossible to predict the future of a company with certainty because it depends on many factors that can change. Webflow is a successful company that specializes in providing tools for creating websites. It's possible that Webflow could have financial difficulties in the future, just like any other company. However, there is no sign that Webflow is currently in a financial crisis or that it will have to file for bankruptcy in the near future.

Webflow key facts summarized from the video

• Webflow had raised 120 million dollars in a Series C round led by Y Combinator Continuity in March 2022
• Webflow received a $4 billion valuation in 2022
• Webflow had 400 employees and 335 million dollars in total capital in 2022
• CEO Magdalin said in March 2022 that the company still has enough money in the bank from previous financing rounds to sustain itself for at least four years (via forbes). The additional capital from the Series C round is still on top here.
• Webflow had reached an annual turnover of 100 million dollars in 2022
• Webflow has more than 200,000 paying customers (as of March 2022)
• Enterprise customer revenue rose from $1 million to $8 million in 2021
• In the future, Webflow should not only be a no-code tool for websites, but also a tool for building software applications

Are Webflow prices competitive?

• I don't find the Webflow prices too expensive for the offer and performance. Apart from the domain, everything you need is in it. We can't use 100% of some things in the EU yet (Memberships, Logic, etc.) but as soon as that and the multilingualism comes along this year, I see no problems for my customers to pay 250€ a year for. Of course, it could also be less, but that would also complicate the pricing structure, which is already complex anyway. See also my contribution: How to convince customers of Webflow
• Prices for other builder website builders (even though I don't think Webflow belongs in that category) cost 15 to 24 euros per month.
• Webflow prices may of course also rise in the future
• I don't really see going bankrupt. The figures speak for themselves (see below).
• Why are platforms like Webflow rated highly by investors? → Customers remain in the long term
• Exporting code would always be possible