The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch cover image

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch

20VC: The Chess.com Memo: The Most Untold Story in Startups; Scaling to $100M Revenue, 150M Members and 700 People, All with Zero Venture Funding | Erik Allebest, CEO @ Chess.com

Feb 7, 2024
Erik Allebest, CEO of Chess.com, shares his journey from being unemployable to leading the largest online chess platform with over 150 million members and $100 million in revenue—all without venture funding. He reflects on the challenges of scaling a startup without external investment and reveals creative strategies for user acquisition, including leveraging trends like COVID and popular media. Erik also delves into personal themes of parenting and marriage, highlighting how his values have shifted beyond money and capitalism.
01:11:58

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Quick takeaways

  • Chess.com scaled to over $100M in revenue and 150M+ members without any venture funding, highlighting the importance of creative thinking and monetizing early.
  • Chess.com focused on creating valuable content, building a strong community, and leveraging platforms like YouTube, Twitch, and TikTok for user acquisition instead of relying on paid methods.

Deep dives

Building Chess.com without Venture Funding

Chess.com was built without any venture funding, which forced them to think creatively and monetize early. They focused on creating valuable content and building a strong community. Instead of relying on paid customer acquisition, they invested in content and leveraged platforms like YouTube, Twitch, and TikTok. The Queen's Gambit and the COVID-19 pandemic provided significant growth opportunities, but their mission-driven approach and commitment to serving their community remained unchanged.

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