Sequoia once rejected Whop. Now it's leading a $205 million funding round

Whop, the Palo Alto startup that helps people launch and run online businesses, has raised a $205 million funding round that values the company at $5.1 billion. Sequoia Capital led the investment, joined by Shopify Inc.’s venture arm, and the company plans to announce the deal on Wednesday. Whop reported strong momentum, crossing $400 million in annualized run-rate revenue versus $60 million at the beginning of last year. Co-founders say it grew from a 2021 sneaker-tracking software project into a platform spanning industries from e-commerce and mobile apps to services such as private jet charter arrangements. Whop charges business owners about a blended 6% fee on transactions and adds Doug Leone to its board.