<story><title>Patreon raises big round at $450M valuation</title><url>https://techcrunch.com/2017/09/14/patreon-series-c/</url></story><parent_chain><item><author>buro9</author><text>It is 5% on top of payment processing, and averages around 10% for content publishers.&lt;p&gt;I keep telling people just to use a PayPal Donate button.&lt;p&gt;Unless you&amp;#x27;re in the top 1% of people on Patreon, you would do better just ensuring that more of the donations that exist ends up in your pocket.&lt;p&gt;If Patreon isn&amp;#x27;t delivering more donors than your content and self-marketing can attract... you are losing out.</text></item><item><author>IshKebab</author><text>They have a fee of 5%. Let&amp;#x27;s assume they have a price&amp;#x2F;earnings ratio of 20, that means they expect people to spend something like $450m&amp;#x2F;year on Patreon.&lt;p&gt;According to Wikipedia they are at around $150m&amp;#x2F;year already. I think it is totally feasible that they could increase that to $450m&amp;#x2F;year and not have to increase their 5% fee.&lt;p&gt;Seems like a reasonable valuation to me.</text></item><item><author>joelthelion</author><text>That means they&amp;#x27;re going to expect a lot of revenue. Which they plan to take on money that people give freely. I don&amp;#x27;t see that ending well.</text></item></parent_chain><comment><author>wpietri</author><text>I&amp;#x27;m a relatively heavy Patreon user; I donate ~$100&amp;#x2F;month to ~12 different people. The PayPal donate button doesn&amp;#x27;t solve the problems that Patreon solves for me. Those include: providing long-term support, managing my ongoing support in one place, finding out what the people I support are up to, and getting a notion of how much support they&amp;#x27;re receiving.&lt;p&gt;I still do an occasional one-off donation to somebody who doesn&amp;#x27;t use Patreon, but as far as recurring billing for long-term support, this is all I use now.</text></comment>
<story><title>Patreon raises big round at $450M valuation</title><url>https://techcrunch.com/2017/09/14/patreon-series-c/</url></story><parent_chain><item><author>buro9</author><text>It is 5% on top of payment processing, and averages around 10% for content publishers.&lt;p&gt;I keep telling people just to use a PayPal Donate button.&lt;p&gt;Unless you&amp;#x27;re in the top 1% of people on Patreon, you would do better just ensuring that more of the donations that exist ends up in your pocket.&lt;p&gt;If Patreon isn&amp;#x27;t delivering more donors than your content and self-marketing can attract... you are losing out.</text></item><item><author>IshKebab</author><text>They have a fee of 5%. Let&amp;#x27;s assume they have a price&amp;#x2F;earnings ratio of 20, that means they expect people to spend something like $450m&amp;#x2F;year on Patreon.&lt;p&gt;According to Wikipedia they are at around $150m&amp;#x2F;year already. I think it is totally feasible that they could increase that to $450m&amp;#x2F;year and not have to increase their 5% fee.&lt;p&gt;Seems like a reasonable valuation to me.</text></item><item><author>joelthelion</author><text>That means they&amp;#x27;re going to expect a lot of revenue. Which they plan to take on money that people give freely. I don&amp;#x27;t see that ending well.</text></item></parent_chain><comment><author>dmix</author><text>There&amp;#x27;s a lot more to Patreon that simply being a payment platform...</text></comment>