> Could someone explain why Patreon needs to raise funding? I thought a service built with the express concept of collecting money (and a very popular service a

> Could someone explain why Patreon needs to raise funding? I thought a service built with the express concept of collecting money (and a very popular service at that) wouldn't need external funding. I don't know the details of Patreon, but profitable companies raise money all the time. Patreon is presumably a startup, and has growth in mind. It is likely that they want to grow faster than their current cash flow would allow - in fact, they may need to do this in order to survive in the long term. A more in-depth description of this from pg: http://www.paulgraham.com/growth.html http://www.paulgraham.com/growth.html