Lately, especially since 2020, Onlyfans has been one of the most influential and talked about platforms around. Whether you like it or hate it, the central role of Onlyfans in our society is currently undeniable. The platform was founded in 2016 with the main goal of creating a safe space where fans can connect with their favorite creators in exchange for a monthly subscription.
Initially, the platform was mainly used by artists, musicians, personal sneakers, gamers and influencers. However, after the owner of MyFreeCams acquired 75% of the parent company, the main activity of Onlyfans focused on content that is not safe for work.
After that, the popularity of Onlyfans skyrocketed and the number of users, creators and, consequently, revenues increased exponentially every month. However, despite its growth, Onlyfans is still a private company, so it cannot be traded on the stock market. In this article, we will give you an overview of Onlyfans’ corporate structure and how someone can potentially invest in the company.
Can You Buy Onlyfans Stock? Is Onlyfans Publicly Traded?
As we briefly mentioned earlier, Onlyfans is a private company, which means that its equity is not diluted by selling shares on the open market. However, being a private company has both advantages and disadvantages.
One of the main advantages is that by taking the company private, the owner still retains strict control and decision-making power in the company. Also, since the equity is not diluted, it is easier to make quick decisions and manage the company on a day-to-day basis.
In addition, private companies have fewer regulatory requirements to comply with, such as Security and Exchange Commission (SEC), Nasdaq and NYSE listing rules, and more.
On the other hand, a publicly traded company provides the opportunity to easily access new funds through the listing of stock. Also, when a stock is listed, investors have easy access to the company’s financial information and can buy the stock at the market price with no strings attached.
So there are both advantages and disadvantages to being a listed company, however Onlyfans has not yet announced any plans to go public.
Who Owns Onlyfans?
Onlyfans’ ownership structure is extremely simple, as it has been under the control of its parent company since its inception. Onlyfans was founded in 2016 by Tim Stokely along with his older brother with the help of a £10,000 loan from their father.
Since its inception, Onlyfans has been a private company wholly owned by its parent company Fenix International Limited, another private company established in 2016. For this reason, Onlyfans has never received a direct investment from an investment fund or private investor throughout its operations; any investment in Onlyfans has only been an indirect result of an investment in the parent company.
The fact that Onlyfans is wholly owned by a parent company and the fact that it is a private company, combined with the fact that private companies already have difficulty raising finance, could result in an inflexible structure that could limit Onlyfans’ potential growth.
Is the Parent Company Publicly Traded?
Onlyfans is wholly owned by its parent company Fenix International Limited, a limited liability company incorporated on the first of September 2016. Having a parent company could therefore help potential investors to indirectly benefit from Onlyfans’ business.
When a company is private but majority owned by another company or a parent company holds 100% of the shares, many investors who cannot invest directly in the private company choose to buy the shares of the parent company.
This is because even if a company is private, its equity can be divided into shares or quotas that can then be offered to private investors, but cannot be publicly traded in the market. However, in the case of Fenix International Limited, the founder of MyFreeCams has acquired 75% of the equity of the parent company and thus effectively controls the entire company and its underlying business. Therefore, it might be even more difficult for a private investor to acquire a share of Fenix International Limited at all.
How to Invest in Onlyfans Stock
Given the ownership structure of both Onlyfans and its parent company, it could be very difficult or even impossible for a retail investor to acquire shares of either company.
The fact that both Onlyfans and the Parent Company are privately held is not in itself a barrier to potential investment, as it is generally possible for private investors and investment funds to acquire an interest in the Company.
However, to become an investor in a private company, there are often very strict requirements, such as being an expert in running a business and having experience in the niche in which the company operates. In addition, investing in a private company, especially one of this size, often requires a multi-million dollar investment.
On the other hand, the factor that makes it really difficult to invest in the company is the fact that Onlyfans is fully owned by Fenix International Limited, the parent company, and that a single person, Leonid Radvinsky, owns 75% of the equity.
So, in reality, it is virtually impossible to invest in either company, as a personal relationship with Radvinsky would be required in order to propose an investment opportunity.
How to Buy the Onlyfans IPO
Although Onlyfans has no plans yet to become a publicly traded company, such a move would give thousands of new investors the opportunity to participate in the business.
The most common way for companies to go public as a public company is through what is known as an initial public offering (IPO). In this process, the company’s shares are initially sold to a limited group of investors at an offering price before going to market, and after the IPO, the company’s shares are freely transferable on the market.
Often, retail investors wait for the days after the IPO because it is usually less risky to buy the stock when it is already on the market. In addition, there are often many requirements to participate in an IPO, such as account size, buying power, experience in the niche, and more.
Aside IPOs, there are other ways a company can come to market, such as a DPO (Direct Public Offering). In this process, a company is not first offered to a limited group of investors, but is listed directly on the stock exchange
Onlyfans Stock Price Chart
Since Onlyfans is a private company, there is no stock price chart, so it is much more difficult to accurately estimate the value of the company.
However, taking into account many factors such as years of activity, industry growth potential, number of monthly users, revenue, and investments made by third parties, it is possible to create an accurate estimate.
In 2021, Onlyfans reached a company valuation of more than $1 billion, but thanks to its exponential growth, both in profits and in the number of users, many experts have noted that today its value is well above $10 billion.
In summary, Onlyfans is a bizarre company, both because of its content development and its business structure. It started as a platform that allowed fans to connect with their favorite authors, and soon evolved into a platform that is not safe for work.
Thanks to this change, the company’s valuation has skyrocketed from a few million dollars to several billion. But despite this increase in value, the company and its parent company remain private, making it very difficult for potential investors to take a stake in the company.
Is Onlyfans a Private Company?
Yes, Onlyfans is a private company founded in 2016 by two brothers. Since its birth, it has been entirely under control of its parent company Fenix International Limited, another private company founded in the same year.
Does Onlyfans have any plans of pursuing an IPO?
To this date, Onlyfans hasn’t yet disclosed any plans of getting listed on the market.
How Much Is Onlyfans Company Worth?
Because Onlyfans is having such an exponential growth and because it is a private company, it is actually pretty hard to give it an extremely accurate business valuation. However, many experts have stated that in 2021 Onlyfans’ valuation surged above $1 Billion and today it is estimated to be above $10 Billion.
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