- What is DocuSign, and how does DocuSign work?
- How does DocuSign make money?
- Subscription Revenue
- Professional Services
- DocuSign’s Subsidiaries, Acquisitions, and Exits
- DocuSign’s profit and revenue
- What is the DocuSign business and revenue model?
- DocuSign’s funding and market cap
How does DocuSign make money? Here is a full, in-depth, breakdown of their two (2) revenue streams and the different products and services they offer, as well as the DocuSign business model, their year-over-year revenue, and how DocuSign works.
What is DocuSign, and how does DocuSign work?
DocuSign is a service that offers organizations to manage, receive, and sign agreements electronically through eSignature.
How DocuSign works is: Once an individual or company creates an account, they can then begin to send, receive, and manage agreements electronically through eSignature depending on the subscription plan that user has.
Some of DocuSign’s competitors include HelloSign, PandaDoc, and other eSignature service companies.
How does DocuSign make money?
According to DocuSign’s about page, they now have more than 1,000,000 paying customers and hundreds of millions of users globally. So how exactly does DocuSign make money off of all these customers?
Below is a breakdown of how much money DocuSign makes and its revenue model. Including all revenue streams and how much they charge for their services.
Here are the 2 ways of how DocuSign makes money (in 2022):
DocuSign has a revenue model that makes money in two (2) ways – subscriptions and professional services offered.
#1. Subscription Revenue
DocuSign makes the majority of its money through its subscription service. In fact, $1.38 billion or 95% of DocuSign’s total revenue came from subscriptions in 2020.
As mentioned above, DocuSign has more than 1,000,000 paying customers and hundreds of millions of users globally. Of which, 13 of the top 15 Fortune 500 Technology companies are also customers. These include companies like Facebook, Google, Salesforce, and more.
DocuSign offers three (3) separate subscription plans for their services, they are: eSignature, Real Estate, and Developer. Each of which has its own tiers where you can find the pricing listed below.
- eSignature Plans: $10 to $40 per user, per month
- Real Estate Plans: $10 to $25 per user, per month
- Developer Plans: free to $480 per user, per month
Note: 95% of DocuSign’s total revenue came from subscriptions in 2020.
#2. Professional Services
Aside from subscription revenue, DocuSign also makes money through its professional services. These services brought in the remaining $72 million in revenue for DocuSign.
DocuSign recognizes professional service revenue, according to page 43 of DocuSign’s 2021 Form 10-K, as “fees associated with new customers requesting deployment and integration services.”
DocuSign’s Subsidiaries, Acquisitions, and Exits
To date, DocuSign, Inc. has made a total of 8 acquisitions, 6 investments, 1 lead investment, and 2 successful exits.
DocuSign’s profit and revenue
In 2020, DocuSign reported $1.45 billion in revenue.
Note: Because DocuSign, Inc. is a publicly traded company, under the Securities Exchange Act of 1934, they must file continuous financial filings with the U.S. Securities and Exchange Commission (SEC). You can find all of DocuSign’s publicly released financial reports, including annual reports, through DocuSign’s investor section on their website.
What is the DocuSign business and revenue model?
DocuSign makes money through a few revenue models that they combine within their company, they are:
- Subscription based business model
- Fee-for-service (FFS) business model
- B2B2C (partnerships) business model
- Mergers & acquisitions (M&A) business model
DocuSign’s funding and market cap
According to DocuSign’s Crunchbase profile, DocuSign has raised $536.2 million over 20 rounds and has a market cap of $57.71 billion as of Sepember 2021.