{"id":20476,"date":"2018-11-27T08:48:47","date_gmt":"2018-11-27T13:48:47","guid":{"rendered":"https:\/\/www.bloomberg.com\/company\/stories\/idea-website-turned-squarespace\/"},"modified":"2022-03-04T23:11:52","modified_gmt":"2022-03-05T04:11:52","slug":"idea-website-turned-squarespace","status":"publish","type":"post","link":"https:\/\/www.bloomberg.com\/company\/stories\/idea-website-turned-squarespace\/","title":{"rendered":"How an Idea for a Website Turned into Squarespace"},"content":{"rendered":"<div class='bbg-row bbg-bg--white  bbg-row--margin-top-none bbg-row--margin-bottom-none' data-anchor='row-6a03a4fa8a9ca'>\n  \n\t\n\t\n\t<div class=\"bbg-row--content\">\n\t\t\n\t\t\t<div class='bbg-column bbg-column--width-8 bbg-column--offset-2'>\n\t<p><figure class=\"image-figure\" data-animation=\"\">\n    <img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"683\" src=\"https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg\" class=\"attachment-large size-large image-figure__image image-figure__image--primary\" alt=\"\" srcset=\"https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg 1024w, https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg 300w, https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg 768w, https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg 170w, https:\/\/assets.bbhub.io\/image\/v1\/resize?width=auto&amp;type=webp&amp;url=https:\/\/assets.bbhub.io\/company\/sites\/51\/2018\/11\/10.22.18-Cornell-Tech0482.jpg 140w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/>\n    \n<\/figure>\n<div class='bb-wysiwyg'>\n    \n    <p>Back in 2003, Anthony Casalena wanted to create a website with a blog, a photo gallery and a bunch of other projects he had coded. He was a computer science major at the University of Maryland and started working on his website between classes and homework assignments. After writing maybe one or two blog posts, Casalena founded <a href=\"https:\/\/www.squarespace.com\/\">Squarespace<\/a> instead. He chose that name because computer monitors used to be square and this was the available space within the screen, plus the domain name was available, and he thought the name warranted a simple logo. The blog hosting service he started as a one-man show in his dorm room has since grown to a company that provides an all-in-one platform for websites. In 2017, it was valued at <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2017-12-14\/squarespace-is-said-to-raise-funding-at-1-7-billion-valuation\">$1.7 billion<\/a>.<\/p>\n<p>On Monday, October 22, 2018, Bloomberg Television\u2019s Scarlet Fu discussed Squarespace, entrepreneurship and the importance of website design with Casalena as part of the Cornell Tech @ Bloomberg Speaker Series at Bloomberg\u2019s Global Headquarters in New York City.<\/p>\n<p>Casalena admits that blogging isn\u2019t his forte and, while he gravitated towards the more technical aspects of his website and its design, he found the development process cumbersome. At the time, no one offered an all-in-one solution \u2013 he had to assemble different pieces of software on a hosted system, maintain the servers and run his own analytics. Second, he cared deeply about what his site looked like and how it represented his thoughts, because that would be how people perceived him and his ideas.<\/p>\n<p>\u201cI started Squarespace for myself because I wanted those two things, and then quickly realized that perhaps more people cared about those same two things,\u201d said Casalena.<\/p>\n\n<\/div>\n<style>#bloomberg-video-6a03a4fa9896b .bloomberg-video__wrapper { background-image: url('https:\/\/i.ytimg.com\/vi\/oIHDvpI-w-A\/hqdefault.jpg'); }<\/style>\n<div class='bloomberg-video' data-aspect-ratio='16:9' data-service='youtube-video' id='bloomberg-video-6a03a4fa9896b'>\n\t<div class='bloomberg-video__wrapper bloomberg-video__wrapper--core'>\n\n<a\n\tclass=\"bloomberg-video__link\"\n\thref=\"https:\/\/www.youtube.com\/watch?v=oIHDvpI-w-A\"\n\ttarget=\"_blank\"\n\trel=\"noopener\"\n\ttitle=\"\"\n\tdata-video-id=\"oIHDvpI-w-A\"\n\tdata-video-title=\"Bloomberg Cornell Tech Series: A Conversation with Squarespace&amp;#039;s Anthony Casalena  - Highlight\"\n\tdata-orientation=\"Horizontal\"\n\tdata-modestbranding=\"0\"\n\tdata-controls=\"1\"\n\tdata-is-playlist=\"0\"\n\tdata-playlist-starting-video=\"\"\n\tdata-start-time=\"0\"\n\taria-label=\"Play Video\"\n><\/a>\n\t<\/div>\n<\/div>\n<div class='bb-wysiwyg'>\n    \n    <h3>An Innovative Solution to the Problem of Self-Expression<\/h3>\n<p>When Casalena started Squarespace, creating a website and putting something online was difficult to do, but blogging, or typing into a box, was something that anyone could do. \u201cWe really anchored the company around blogging in the early days and very quickly realized that people were creating blogs [and] websites for all kinds of reasons, and it became an interesting problem,\u201d he said.<\/p>\n<p>Squarespace differentiated itself by providing a technical solution that also took design into consideration. During the platform\u2019s relaunch in 2012, the company intentionally sought to attract a more creative customer base. Back then, the Web was changing and the visual presentation of a portfolio was a challenge, but that style of design could be used for a variety of purposes. \u201cWe said, if we can solve for the websites that are hardest to make and the most visually difficult, we can solve that for other people and apply those techniques elsewhere,\u201d said Casalena.<\/p>\n\n<\/div>\n<div class='bb-wysiwyg'>\n    \n    <h3>Transitioning from a One-Man Show to a Company<\/h3>\n<p>While still a student, Casalena set up the servers, ran the infrastructure, wrote the marketing material, ran the Google AdWords campaigns and coded between homework assignments. He was an engineer, and for him, engineering his way out of problems was easier than learning how to hire people. \u201cI kept falling back on that weakness \u2013 or that strength,\u201d said Casalena.<\/p>\n<p>He couldn\u2019t innovate anything though as he was increasingly focused on running Squarespace and didn\u2019t have the time. \u201cI realized I wasn&#8217;t making progress,\u201d he said. \u201cSo, I decided to change that, and I joined up with some people. We started that journey towards, I guess you can say, I had to learn to become a manager.\u201d<\/p>\n<p>He first hired part-time employees to help with customer support, and then he hired people to work on designing website template. What helped Casalena recruit was that Squarespace had traction from the start and it had received investments about seven years in from Index Ventures and Accel Partners, two well-respected venture capital firms.<\/p>\n<p>\u201cA lot of people who might have been a little bit more skeptical about joining my solo little entrepreneurial show were at least comforted by the fact that these two world-renowned firms with good reputations were willing to go under the hood and [provide validation],\u201d said Casalena.<\/p>\n<p>He\u2019s still very much involved in the company\u2019s mission and vision and ensuring that teams deliver results. \u201cI don&#8217;t think you can delegate the DNA and the building of the DNA,\u201d he said. \u201cI think that that&#8217;s up to you to figure out who&#8217;s in and who&#8217;s out and what configuration people are in. I don&#8217;t think there&#8217;s anyone on your team that can just figure that out for you; you&#8217;ve got to pick that.\u201d<\/p>\n\n<\/div>\n<div class='bb-wysiwyg'>\n    \n    <h3>Financial Models Aren\u2019t One-Size-Fits-All<\/h3>\n<p>Squarespace is a late-stage private company and Casalena often thinks about operating within limitations, especially from a financial perspective. He disagrees with venture capitalists that encourage founders to raise as much money as possible because they have a great service or product \u2013 or when financing is cheap.<\/p>\n<p>Some businesses are very capital intensive upfront \u2013 they have a burn rate and need runway \u2013 but no one wants to operate in a situation where there\u2019s financial uncertainty three months down the road. Squarespace has essentially operated as cash flow break-even from the very beginning. \u201cI didn&#8217;t really need to raise, in my view, outside capital,\u201d said Casalena. \u201cFor a while, it was just me running it, so it was a build, a reach to a level where you\u2019re always generating a good amount of money.\u201d<\/p>\n<p>The financial discipline to keep the company at break-even stopped Casalena from raising money that he probably would then have felt compelled to spend. \u201cAlso, if you don&#8217;t know what you&#8217;re going to do with the money, why would you suffer the dilution?\u201d he said. \u201cIt doesn&#8217;t add up to me. When we have raised money, it&#8217;s been for very specific reasons.\u201d<\/p>\n<p>In the meantime, Squarespace continues to innovate and move forward. \u201cWhile a lot of our values are the same as when we started as a blogging platform, we&#8217;re much more than a blogging platform right now. At various junctures, it&#8217;s got to be okay to say, \u2018We&#8217;re going to do more,\u2019\u201d said Casalena. \u201cOur ambition can evolve.\u201d<\/p>\n\n<\/div>\n<div class='bb-wysiwyg'>\n    \n    <p><em>You can watch\u00a0the entire discussion below:<\/em><\/p>\n\n<\/div>\n<style>#bloomberg-video-6a03a4faa418f .bloomberg-video__wrapper { background-image: url('https:\/\/i.ytimg.com\/vi\/ttUbdfDpmYQ\/hqdefault.jpg'); }<\/style>\n<div class='bloomberg-video' data-aspect-ratio='16:9' data-service='youtube-video' id='bloomberg-video-6a03a4faa418f'>\n\t<div class='bloomberg-video__wrapper bloomberg-video__wrapper--core'>\n\n<a\n\tclass=\"bloomberg-video__link\"\n\thref=\"https:\/\/www.youtube.com\/watch?v=ttUbdfDpmYQ\"\n\ttarget=\"_blank\"\n\trel=\"noopener\"\n\ttitle=\"\"\n\tdata-video-id=\"ttUbdfDpmYQ\"\n\tdata-video-title=\"Bloomberg Cornell Tech Series: A Conversation with Squarespace&amp;#039;s Anthony Casalena  - Full Interview\"\n\tdata-orientation=\"Horizontal\"\n\tdata-modestbranding=\"0\"\n\tdata-controls=\"1\"\n\tdata-is-playlist=\"0\"\n\tdata-playlist-starting-video=\"\"\n\tdata-start-time=\"0\"\n\taria-label=\"Play Video\"\n><\/a>\n\t<\/div>\n<\/div>\n\n<\/div>\n\n\n\t\t\n\t<\/div>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>Squarespace CEO &amp; Founder Anthony Casalena discusses entrepreneurship and the importance of website design<\/p>\n","protected":false},"author":313,"featured_media":19444,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1466],"tags":[1470,1471,1793,1777],"class_list":["post-20476","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tech-at-bloomberg","tag-cornell-tech","tag-general","tag-vc","tag-venture-capital"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.11 - 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