beehiiv: Solving Your Own Problems

Wil Chockley
WIl Chockley is a partner at 75 & Sunny, where he evaluates potential investment opportunities across sectors and works with founders to build their strategy and execute on their vision.
beehiiv: Solving Your Own Problems

If you subscribe to a multitude of newsletters like I do, you may have noticed a little button that has started to pop up at the bottom of many of them (including this one).

In the last two years, Tyler Denk has led beehiiv (stylized with a lower-case b) on a torrid pace of growth, passing $4m of run rate revenue this spring, on pace to triple that by the end of the year. beehiiv has more than 35 million monthly unique readers and 7,500 active newsletters on the platform. Perhaps the most impressive piece of this, though, is that beehiiv did this having only raised $4m and having reached profitability before raising their $12.5m Series A led by Lightspeed Venture Partners.

Read on, as I’ll take you through Tyler’s journey from the suburbs of Baltimore to leading one of the buzziest startups in Los Angeles. 🐝

If you only have a minute to read, check out our key takeaways for founders and aspiring entrepreneurs.

  • 🤔 Solve your own problems - beehiiv was born out of Tyler’s experience at Morning Brew, where he was the founding engineer. Morning Brew readers constantly asked how they could make their own newsletters more like Morning Brew, and Tyler decided he could make that happen by building a standalone tech product.
  • 💸 Venture capital is a means not an end - Tyler has approached venture capital cautiously, raising only what he needs to build and accelerate growth. With this approach, beehiiv reached profitability raising less than $5m in venture capital and recently raised a Series A to accelerate growth.
  • 🤝 Strategic investors matter - beehiiv’s early investors included a number of newsletter writers and creators, like finance meme page Litquidity, who moved his 100k+ subscriber newsletter to beehiiv after investing and has promoted the platform to his followers and fellow creators.

🧒 Early Years

Growing up in Baltimore, Tyler Denk was a self described “normal suburban kid, not the smartest or anything,” but when I asked him how he started his entrepreneurial journey, his answer was immediate: physics class. As I think anyone who has gone through a high school physics class knows, physics is hard. For Tyler, though, that’s where he found his passion. He tore through the physics and engineering classes at his high school, and moved on to the University of Maryland, where he was a mechanical engineering major.

I loved everything about physics and equations and math and all that s*** - that's where I nerded out.

While nerding out in mechanical engineering, Tyler also joined all the entrepreneurial clubs, classes, and programs he could find. He met multitudes of people like him - aspiring software founders who might have had an idea but didn’t have the software engineering skills to build it. Unlike most of us (myself included), Tyler didn’t just talk about his ideas ad nauseum, but rather, he taught himself to code and built his first company himself (this is the first of many examples of Tyler solving his own problems).

The company was called Venture Storm, and the goal was to solve the “lack of coding skills” problem for everyone else by building a marketplace for founders with ideas and no technical skills with college-aged software engineers who have skills but no experience. Basically a cofounder dating app. Cool idea, but very hard to execute. Tyler worked on Venture Storm through college and after graduation, growth hacking, hustling, and pushing forward, but eventually wound the company down after realizing that he had a “terrible business model because we had the brokest customers possible, [new founders], who had zero willingness to pay us.”

🌎️ The Real World 

After winding down Venture Storm in 2017, Tyler was a college grad with no job and a bunch of student loans to pay off, so he started freelancing for his grandfather’s shoe store, building the store its first online presence.

Tyler freelanced for a few months, building Shopify stores for small businesses in his network before sitting down with fellow Baltimorean Austin Rief, co-founder of the pioneering newsletter Morning Brew. Austin and the Morning Brew team were just getting started, and they needed an engineer to help them turn what was just a content company into something with a little more tech behind it. Tyler spent the next three years building the tech behind Morning Brew’s massively popular family of newsletters. Throughout those three years, Morning Brew readers who ran newsletters themselves would consistently contact the company asking about the Morning Brew’s tech stack as they looked to improve the appearance and functionality of their own newsletters. With this clear untapped demand, Tyler pitched the Morning Brew leadership team on licensing the company’s software to other newsletters, but pivoting a newsletter business to a SaaS business was judged a bridge too far.

Eventually, Tyler left Morning Brew in October 2020 to join Google just months before Insider acquired a majority stake in Morning Brew for $75m.

After leaving Morning Brew, Tyler couldn’t get the idea for a newsletter software company out of his head. Substack was flying high, but Tyler kept hearing about unsatisfied customers.

I kept seeing on Twitter and hearing from friends that people were complaining about the lack of features on Substack, and I knew I could build a better product because I had already built all of that at Morning Brew

Substack’s approach was to focus on simple newsletters written by individual authors, with a focus on monetizing via premium subscriptions. Mailchimp, the legacy leader, has always been a product built for email marketing rather than email newsletters. Neither platform was custom built for the aspiring newsletter company, and neither one was built for ad supported monetization, the bread and butter of Morning Brew’s business.

In the week between leaving Morning Brew and joining Google, Tyler and his Morning Brew colleague Ben Hargett scoped out what building a newsletter software company would look like. They thought it would take about 10 months to build while holding down real jobs at the same time. Ben brought along another friend and colleague Jake Hurd to help build out the product, and the three of them went to work (on nights and weekends).

🐝 beehiiv

In August 2021, Tyler, Ben and Jake were ready to go with their MVP and went to market for some initial funding to get the company off the ground, eventually raising a $2.6m seed round led by Social Leverage. Smartly, Tyler and team took not only money from institutional VCs, but also relevant creators, influencers, and newsletter writers like finance meme page Litquidity, who moved his 100k+ subscriber newsletter to beehiiv after investing and has promoted the platform to his followers and fellow creators.

Concurrent with the raise, the three co-founders left their day jobs and started working on beehiiv full time.

beehiiv has been in growth mode ever since. The company has grown ~40%+ month over month since its early days, with 90% of growth coming organically. One example of the clear product/market fit of the business is that in year one, the company didn’t spend a penny on paid customer acquisition. Since then, the company has grown to over $4m in run rate revenue, and is on pace to triple by the end of the year.

So why has beehiiv been such a hit with newsletter writers? 🤔

Substack has been around longer, Mailchimp and Constant Contact even longer than that. All have bigger warchests, bigger engineering teams, and bigger marketing budgets.

What beehiiv has is an extremely clear understanding of the customer. In Tyler’s opinion, Mailchimp, Constant Contact, and the other legacy players are purpose built for email marketers not newsletter writers. The platforms are massively full featured but are clunky and confusing for first time users. They don’t offer easy, simple website tooling and are more expensive than beehiiv and Substack. Substack, on the other hand, is free but offers extremely limited customizability both on the newsletter and on websites. If you see a Substack newsletter, you immediately know it’s from Substack. It’s hard to stand out, and for enterprises, it can look unprofessional. They also have limited growth-focused features, like referral programs.

Additionally, Substack has focused on paid subscription-based monetization rather than sponsor-based monetization, dramatically reducing its appeal to free, ad-supported newsletters. Clearly Tyler and beehiiv onto something, given the rapid growth of the business thus far.

Today, beehiiv makes money primarily by charging a SaaS fee to writers, with tiers ranging from free to $99 a month for the premium package, but the company’s grand ambitions lie elsewhere, in advertising.

Today, if you’re an internet marketer, there are two primary mega-channels that exist - Google for search and display ads and Meta for social media. Tyler wants to build a third mega-channel - newsletters. Right now, if you want to market your product or service through a newsletter, you have to find a newsletter, manually work with them to create a custom contract, and then go from there. Similarly, if you’re a newsletter writer, a large portion of your time is probably spent trying to sell ads on your product. beehiiv hopes to create the first true marketplace for newsletter advertising, unlocking supply and demand for both sides of the equation.

Obviously, that’s a big vision, which would take years to accomplish, but it’s a goal that has gotten top-tier investors, like Series A lead Lightspeed Venture Partners, as well as others excited about the opportunity.

We here at dot.LA are excited to see what Tyler and the beehiiv team can accomplish, and we’re happy that they picked sunny Los Angeles as their home base.

P.S. If you write your own newsletter, you can sign up for beehiiv here

The $260M Robot Revolution Happening in Torrance

🔦 Spotlight

Hello Los Angeles,

Forget rockets. This week, the loudest move in the defense tech scene came from a factory floor in Torrance, where Hadrian secured $260 million to fuel its robot-run revolution.

The company, which builds AI-powered, robot-run factories for America’s aerospace and defense industries, announced the massive Series C raise, led by existing investors like Lux Capital and Founders Fund, along with a factory expansion loan facility arranged by Morgan Stanley. The funding will power Hadrian’s third factory (in Arizona), unlock full product manufacturing, and accelerate its mission to bring American manufacturing roaring back faster, smarter, and more automated than ever.

And here’s what makes them fascinating: Hadrian isn’t just churning out parts. They’re reinventing what a factory is. Their facilities look more like giant humming circuit boards than the smokestacks of old, packed with robots, AI, and ambition to move at the speed of software.

It’s the kind of vision you’d expect from a founder who speaks about reshoring U.S. manufacturing as if it were a moral obligation and then backs it up with billion-dollar contracts and steel-and-silicon proof.

We’ll be watching closely to see what Hadrian assembles next. One thing’s certain: the robots are already working overtime, and if you’re smart (or a robot whisperer), you might want to join them.

🤝 Venture Deals

LA Companies

  • Boulevard, a SaaS startup that helps salons and self-care businesses manage scheduling and operations, has raised an $80M Series D led by JMI Equity at a valuation near $800M. The funding will fuel enhancements to its AI-powered scheduling tools and support continued product innovation and market expansion. - learn more
  • Rwazi has raised $12M in Series A funding to expand its AI-powered decision-making platform, which helps businesses replace gut-based decisions with real-time insights and simulations based on consumer behavior. The round was led by Bonfire Ventures and will support the growth of Rwazi’s simulation engine and data infrastructure to help companies make more precise, data-driven decisions across marketing, product, and operations. - learn more
  • Lexington Bakes, an artisan bakery known for its gluten-free, organic oat bars and luxury brownies, has raised $1M in a seed round. The investment was led by Rainfall Ventures. The funding will help the company transition to co-manufacturing, expand its retail reach from about 100 to a projected 1,000 doors in the next year, and scale up its team and operations. - learn more

LA Venture Funds

  • TCG (The Chernin Group) participated in Substack’s latest $100M funding round, joining Andreessen Horowitz, and other investors. Their investment underscores confidence in Substack’s vision to grow its subscription publishing platform and expand its tools for independent writers and creators. - learn more
  • Acre Venture Partners participated in Zucca’s $5M funding round to help the Seattle startup scale its platform, which uses AI to design and develop plant-based food products faster and more efficiently. Their investment will support Zucca’s mission to create sustainable, health-focused foods and expand its operations. - learn more
  • Sound Ventures joined XMTP’s $80M Series B to back its vision of redefining how people communicate in the web3 world. With this funding, XMTP plans to scale its decentralized, privacy-focused messaging protocol, enabling secure, wallet-to-wallet conversations across the blockchain ecosystem. - learn more
  • Morpheus Ventures and Sage Venture Partners participated in Datavations’ $17M Series A funding round, with Morpheus joining as a new investor and Sage returning as an existing backer. Datavations, an AI-driven analytics platform for the building materials and home improvement industries, uses machine learning to deliver actionable insights on pricing, inventory, assortment, and supply chains. The funds will be used to grow the team, accelerate development of its Commerce Alert Hub, and expand its presence across North America. - learn more
  • Mucker Capital led the $3.3M seed round for Bidbus, an AI-powered consumer-to-dealer used car marketplace in the U.S. The platform enables car owners to auction their vehicles online and receive competing offers from dealers, while dealers gain access to high-quality inventory more efficiently. The funding will help Bidbus enhance its AI capabilities and expand into new markets. - learn more
  • Creative Artists Agency (CAA) participated as a strategic investor in Moonvalley’s $84M funding round, signaling strong industry confidence in the company’s development of a fully licensed, AI-powered video generation platform tailored for professional filmmakers and studios. CAA’s investment reinforces Moonvalley’s commitment to ethical AI practices and provides it with a direct pipeline to top-tier creative talent and entertainment partners. - learn more
  • MANTIS Venture Capital joined Zip Security’s $13.5M Series A funding round, backing the company's mission to deliver automated, AI-driven cybersecurity and compliance solutions. Their participation supports Zip’s efforts to expand its engineering team, build deeper platform integrations, and scale into regulated industry verticals like defense, finance, and healthcare. - learn more
  • Rebel Fund participated in Apolink’s oversubscribed $4.3M seed round, joining other notable backers such as Y Combinator and 468 Capital. By investing in this 19‑year‑old–led space tech startup, Rebel Fund is supporting Apolink’s mission to deliver continuous LEO satellite connectivity and facilitate its planned demo missions and constellation build‑out. - learn more

    LA Exits
    • Retina AI is to be acquired by Onar in a deal that will enhance Onar’s AI-powered customer analytics and personalization offerings. By integrating Retina’s predictive customer lifetime value technology, Onar aims to provide businesses with deeper insights into customer behavior and more precise targeting. The acquisition highlights Onar’s commitment to delivering data-driven solutions for optimizing customer relationships. - learn more
    • Nearsure, a U.S.-based tech services company with over 600 professionals across 18 Latin American countries, has been acquired by Nortal to bolster its AI and enterprise solutions in the Americas. Known for its AI-driven transformation, custom software, and partnerships with major platforms, Nearsure will merge into Nortal’s U.S. operations and rebrand later this year. The acquisition allows Nearsure to expand into U.S. and European markets while enhancing its AI, cybersecurity, and enterprise offerings. - learn more
    • InsideOut Sports & Entertainment, the event production company behind high‑profile sports events like The Pickleball Slam, Pro Padel League, and Major League Pickleball, has been acquired by GSE Worldwide, marking GSE’s first foray into live event production. Founded by tennis legend Jim Courier and Jon Venison, who will now serve as EVP and head of the new GSE Productions division, InsideOut’s team will integrate into GSE to help scale its live-event operations into new markets. - learn more

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      From Sunset Boulevard to Outer Space: LA’s Latest

      🔦 Spotlight

      Good Morning Beliebers and Los Angeles!

      While Justin Bieber’s new album dropped last night, here’s what else is making headlines in Los Angeles this week.

      Luma has opened its Dream Lab on Sunset Boulevard, boldly positioning itself at the forefront of AI-powered creativity. Known for transforming ordinary photos into cinematic 3D scenes, Luma is combining cutting-edge research with practical tools to build a playground for artists, engineers, and anyone ready to push the boundaries of visual storytelling. In their words: “From Hollywood blockbusters to the next generation of immersive media, this is where the magic happens.”

      Meanwhile, well beyond our skyline, SpaceX reportedly hit an eye-popping $400 billion valuation in a recent share sale, making it one of the most valuable private companies ever. The milestone reflects both investors’ fervor for the commercial space race and LA’s unrivaled role as the launchpad of aerospace innovation.

      LA continues to prove it can deliver on the ground, in the cloud, and far beyond the stars. See you next week.

      🤝 Venture Deals

      LA Companies

         
      • Varda Space Industries, the El Segundo–based company manufacturing pharmaceuticals in microgravity, has raised $187M in a Series C round led by Natural Capital and Shrug Capital, bringing its total funding to approximately $329M. The funds will support an increased launch cadence of robotic drug-production capsules, expansion of its El Segundo lab for biologic drug crystallization, and broader efforts to scale commercial microgravity-driven drug formulation and hypersonic reentry testing. - learn more

      LA Venture Funds

      • Rebel Fund participated in Vellum’s $20M Series A round, which was led by Leaders Fund. The company helps businesses build and optimize LLM-powered applications. Vellum plans to grow its team and speed up product development with the new funding. - learn more
      • Bold Capital participated in a $31M Series B funding round for Aqtual, a Hayward, California based precision medicine startup developing a cutting edge cell free DNA (cfDNA) multiomics platform. The capital will help commercialize Aqtual’s flagship rheumatoid arthritis diagnostic, currently being tested in a 1,300 patient trial, and support expansion into other chronic and autoimmune diseases. - learn more
      • Strong Ventures invested in VERAMORE, a skincare brand focused on addressing early signs of aging in women. Since launching in March 2022, VERAMORE has grown over 300% annually, expanded to more than 16 products, and entered markets including Japan, Singapore, Vietnam, Taiwan, Europe, and Korea. The funding will support its D2C growth, product-driven marketing, and planned global expansion starting with Japan in 2025 and the U.S. and Europe in 2026. - learn more
      • Mucker Capital joined a $3.7M seed funding round for Velvet Capital aimed at launching its DeFAI operating system and $VELVET governance token. Velvet’s vertically integrated DeFi toolkit combines AI-powered trading, portfolio management, APIs, and a native token to streamline on-chain investment for funds, DAOs, and individual traders. The funding will accelerate platform development, the rollout of its tokenomics, and broader adoption of its intent-based DeFi suite. - learn more
      • Btech Consortium Fund participated in a $8.5M Series A funding round for Castellum.AI, a New York based financial crime compliance platform that uses in‑house risk data, AI, and screening tools to help financial institutions manage AML/KYC compliance. The funds will be used to expand their team, enhance integrations with financial institutions, and accelerate adoption of their AI‑powered compliance solutions. - learn more
      • Bold Capital Partners joined the oversubscribed $45M Series A round for Centivax, a South San Francisco biotech company dedicated to developing a universal flu vaccine using a proprietary mRNA-based immune-engineering platform. Led by Future Ventures, the funding will help Centivax advance its lead candidate into Phase I clinical trials and expand its broader universal immunity pipeline targeting pathogens like RSV, HIV, and malaria. - learn more
      • Alpha Edison participated in Honor Education’s $38M Series A funding round for the San Francisco–based learning platform. Honor uses AI‑enhanced, mobile-first courses and credentialed programs to improve engagement and leadership development. The funding will be used to scale AI capabilities, personalize learning experiences, and expand the company’s operations and customer‑success teams to meet rising demand. - learn more
      • Wasserman Ventures participated in a $7M seed round for Fantasy Life, the fantasy sports platform founded by Matthew Berry. The funding will support the launch of Fantasy Life’s revamped platform, featuring new “Guillotine Leagues,” a modernized app experience, and enhanced content and tools to scale its audience and technology offerings. - learn more

      LA Exits
      • El Segundo based Kaye Capital Management, a fee only RIA with approximately $700M in assets under management and $300M in assets under advisement, was acquired by Modern Wealth Management, marking its 17th acquisition and pushing its total AUM over $8.5B. The deal strengthens Modern Wealth’s presence in California and adds Kaye’s institutional retirement plan expertise to its suite of financial and retirement solutions for clients. - learn more
      • NIRx Medical Technologies was acquired by Gilde Healthcare’s private equity fund and combined with Artinis Medical Systems to form a world-leading neuroimaging group. Both companies will retain their brands and locations while collaborating on R&D, product development, and global expansion of their functional near-infrared spectroscopy (fNIRS) tools to advance research in mental health, neurodegenerative diseases, and stroke rehabilitation. - learn more
      • Emotive, a conversational SMS marketing platform, has been acquired by Privy to create a unified solution for e-commerce brands that combines email, SMS, pop-ups, and real-time customer conversations. The integrated platform will help over 10,000 merchants simplify their marketing, personalize customer interactions, and strengthen relationships with dedicated strategists and transparent pricing. - learn more

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      Tinder, Starlink, and Apple’s New Studio: This Week in LA

      🔦 Spotlight

      Happy Independence Day, Los Angeles! 🇺🇸

      While you're celebrating freedom, here are some electrifying updates lighting up LA’s tech, satellite, and music scenes:

      🔥 Tinder mandates Face Recognition in California

        Image Source: Tinder

      Tinder is now requiring all new users in California to complete a biometric face check, a brief video selfie processed via FaceTec, to verify profiles are genuine. The video is deleted post-verification, though an encrypted face map remains while the account is active. This West Hollywood based move could redefine trust, safety, and privacy in mainstream consumer apps.

      🌐 Starlink clears hurdle to launch in India

      Elon Musk’s SpaceX backed Starlink has cleared most regulatory and licensing hurdles with India’s Department of Telecommunications, marking a key step toward launching satellite broadband in one of the world’s fastest growing markets. Final approvals from the national space regulator are pending, and services, expected to deliver high speed connectivity to underserved regions, could launch in the coming months. This is a major milestone for Starlink’s global expansion.

      🎧 Apple Music opens Culver City creative hub

        Image Source: Apple

      Apple Music is celebrating its anniversary by launching a brand new 15,000 square foot, three story studio in Culver City. The facility, featuring a 4,000 square foot soundstage, spatial audio suites, podcast booths, and more, is designed by Eric Owen Moss and slated to open mid August. It solidifies LA’s reputation as a creative powerhouse and reaffirms Apple’s commitment to investing in and nurturing our city's cultural ecosystem.

      From dating apps to deep space to sound stages, LA isn’t just watching the future unfold, we’re building it.

      Here’s to independence, imagination, and everything this city dares to launch next. Happy Fourth, Los Angeles.

      🤝 Venture Deals

      LA Companies

      • Castelion has raised a $350M Series B round led by Lightspeed Venture Partners alongside Altimeter Capital to scale its hypersonic missile production capabilities. The El Segundo-based defense startup plans to use the funds to expand manufacturing, accelerate testing through its SpaceX-inspired rapid development model, and position itself as a cost-effective supplier of hypersonic weapons to the U.S. military and its allies. - learn more
      • Earth Sama, a Calabasas, California–based climate-tech platform that helps rural farming and Indigenous communities generate and manage carbon credits, secured investment from Omtse Ventures. The funding will support the rollout of Earth Sama’s blockchain-powered field app, climate-creator platform, and smart-contract tools to scale community-led carbon credit projects globally under the Paris Agreement’s Article 6.4 framework. - learn more

                LA Venture Funds

                • Plassa Capital participated in Metafide’s $3.275M funding round. Miami based Metafide, the creator of SURGE, a gamified trading platform that combines AI neural networks and human insight, will use the funds to scale and launch SURGE into the market. - learn more
                • BOLD Capital Partners participated as a founding investor in Syntis Bio’s $33M Series A round, with an additional $5M in NIH grants. The Boston-based biotech is developing oral therapies for obesity and rare diseases, and the funding will help advance its SYNT platform, moving its lead obesity treatment, SYNT-101, into Phase 1 trials and supporting development of SYNT-202 for homocystinuria. - learn more
                • BAM Ventures participated in Cred’s $15M seed round for its predictive intelligence startup. San Francisco based Cred uses AI to unify company data with real time market signals and deliver actionable insights for sales and operations. The funding, led by defy.vc, will be used to scale Cred’s platform, expand its customer base, and grow team and product capabilities. - learn more
                • BOLD Capital Partners participated in Gallant’s $18M Series B round to advance its ready-to-use stem cell therapies for pets. The funding, led by Digitalis Ventures with additional support from NovaQuest Capital, will help Gallant bring its off-the-shelf regenerative treatments to market. - learn more
                • Rebel Fund joined the seed round for Rocketable, contributing to the $6.5M raised to build a portfolio of fully automated SaaS companies. San Francisco-based Rocketable, backed by True Ventures and others, uses AI agents to operate acquired software products, and Rebel’s support will help scale both the platform and acquisitions. - learn more 
                        LA Exits
                        • Leasepath, a cloud-first provider of equipment lease and loan management software, has been acquired by Solifi to enhance its mid-market offerings. The deal allows Solifi to expand Leasepath’s Microsoft Dynamics-based platform into new global markets while keeping Leasepath’s team and leadership in place. - learn more

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