Problem
Creators deserve to get paid directly by their audiences
There are millions of creative people out there producing valuable digital products. E-books, software applications, guides, animation, tutorials, and much more.
But selling products online, and managing customers, can be complex and time-consuming. Sellers need to build checkout and product pages, have reliable payment processing, and handle many other aspects of ecommerce.
Solution
Streamlining online commerce
We make it simple for creators to sell their goods online. Sellers can quickly and simply get their own online business running.
Here are some of the services we offer.
Build product and checkout pages
Handle payment processing, chargebacks, etc
Customer management: communicate with your customer base with offers
Gumroad charges reasonable rates, which range from 3.5% - 8.5% of sales (includes processing fees)
So far we’ve helped more than 74,000 creators earn hundreds of millions of dollars.
Product
You're covered–from signing up to your 100th pay day
Gumroad is the easiest way to get started, but it's also a great place as you grow.
We provide a "home" for creators, but we also we help creators sell digital and physical products, build email lists, run membership businesses, and more.
You can also learn from your data as you grow; our analytics help you discover what's working for you and what could be working better.
Traction
Our 74K+ creators have earned over $390M
Creators grew their GMV (gross merchandise volume) by 94% in 2020 alone.
2020 by the numbers
Revenue: $9,210,793 (+87%)
Gross profit: $2,685,579 (+105%)
Net income: $1,058,745 (+268%)
Customers
Gumroad is for creators
We serve anyone who wants to sell anything – be it digital or physical – online. Our customers include writers, designers, coders, comic creators, directors, musicians, standup comedians, photographers, personal trainers, and more. The list is literally infinite!
Business model
We make money when our creators make money
We make money in three ways:
- Charging a fee on creator GMV (between 3.5% and 8.5%)
- Charging for a premium SaaS offering (starts at $10 a month)
- Discovery fee (10% for sales we refer to our creators)
Market
The creator economy is just getting started
We aim to become the default platform for creators of all stripes to sell their products directly to their audiences online.
Competition
By creators, for creators
Most of our competitors have raised venture capital. Our strategy is different: turn our creators into owners.
Vision and strategy
Improving and expanding
Using the proceeds from this round of funding, we'll be growing our team and using additional resources to ship features to help our creators scale.
We’re also expanding our offerings. For most of Gumroad’s history, we have focused on digital products such as software and apps, animation, e-books, music, comedy, and more. Now for the first time we’re expanding to physical products and membership products such as newsletters.
Funding
Gumroad has raised $8.1M since 2011
Gumroad has been through two prior rounds of funding. We’ve raised a total of $8M+ since 2011, when we first began our seed round. We have raised money from investors including Kleiner Perkins, First Round Capital, SV Angel, Max Levchin, Naval Ravikant, among others.
Founders
Creator turned entrepreneur
Sahil Lavingia built the first iteration of Gumroad in a single weekend, back in 2011.
Before Gumroad, he was employee #2 at Pinterest.