Figma Upcoming IPO: Designing a path toward going public

While a failed merger can be a devastating blow for some companies, design software platform Figma has seemingly dusted itself off and is back on a growth trajectory.

After a deal to get acquired by Adobe for $20 billion fell through amidst regulatory pressure at the end of 2023, Figma reset its valuation back to $10 billion.⁴ Since then, however, the company greenlit a tender offer in May 2024 that valued the company at $12.5 billion,⁵ and Figma has nearly returned to the level from its Adobe deal, with a current estimated $17.84 billion valuation.⁶

Now, the company appears on track to go public, with Figma filing an S-1 registration statement in July 2025.⁷ This public filing confirms its IPO plans are advancing, though details such as the offering price and date are still pending.

Figma: Company background

Figma was founded in 2012⁸ by Dylan Field — Figma's current CEO — and Evan Wallace — Figma's former CTO who left the company in 2021.⁹ The two met at Brown University,¹⁰ and while it took some time for the company to find its way, by 2016 Figma publicly launched its UI/UX design platform that it has become well-known for.¹¹

The company focuses on collaborative design tools, such as for wireframing websites and apps.¹² It has also expanded into areas including a collaborative whiteboarding solution, tools for developers that can translate designs into code, as well as a slide deck tool for creating presentations.¹³

Charting a growth trajectory

Like many software brands, Figma operates with a freemium model, and this has contributed to the company quickly building up its revenue.

In 2018, Figma reportedly reached $4 million in annual revenue, which jumped to $15 million in 2019 and around $95 million by 2021.¹⁴ In 2021, Figma released FigJam, its collaborative whiteboarding tool born out of pandemic-era remote work, which quickly started being used by employees at companies such as Netflix, Salesforce, Stripe and Twitch.¹⁵

The following year, 2022, Figma's revenue reportedly doubled to $190 million, and by 2024 it more than doubled again to hit $400 million in annual revenue.¹⁶

This fast growth helps explain why Figma caught the eye of Adobe, which tried to compete with Figma's core UI/UX tool by launching Adobe XD.¹⁷ Yet Figma has outlasted Adobe in this arena, considering that Adobe said it would stop investing in the app, even after the Figma deal collapsed.¹⁸

That said, Figma still faces competition from other design software companies, including Adobe, which might be able to add functionality to other apps in its suite of offerings that could further rival Figma's offerings.

For now, though, Figma continues to expand, such as with the March announcement that it would invest nearly $15 million in an expansion of its New York City office that would create over 242 jobs, which is roughly 15% more than the 1,600+ current Figma employees.¹⁹

Figma stock price history

Figma's Forge Price is $38.00, which is a 104% increase over the past year.²⁰ Forge Price is a derived data point that reflects the up-to-date price performance of venture-backed, late-stage companies, and is calculated based on a proprietary model incorporating pricing inputs from primary funding round information, secondary market transactions, and the order book on Forge marketplace.

While Figma's Forge Price coincides with some of the post-Adobe recovery, that's not to say the recent gains are simply a bounce back. The current Forge Price still represents significant increases from previous funding rounds. 

For example, in 2021, Figma's last primary funding round (Figma's Series E) implied a price per share of $21.30. That round also marked a significant jump from previous rounds, such as with a $4.62 Figma stock price from its 2020 Series D, and a $1.10 price per share from the 2019 Figma Series C.²¹

Figma funding history and private market valuation

While Figma has reached decacorn status, it has raised relatively modest amounts in comparison to its size, securing approximately $333 million combined across six primary funding rounds.²²

Figma's first funding round was a 2013 seed round, when it raised $4 million at a $16 million valuation from investors such as Adam Nash, Index Ventures and Kaplan Group Investments.²³ In 2015, Figma's Series A raised $14 million at a $76.95 million valuation,²⁴ and this round was led by Greylock Partners.²⁵

The Figma Series B came in 2018, when the company raised $25 million and more than doubled its valuation to $158.56 million,²⁶ in a round led by Kleiner Perkins.²⁷

The following year, 2019, the Figma Series C raised $40 million, with a big jump in valuation to $440 million.²⁸ This round was led by Sequoia Capital, along with investment from notable firms such as Coatue and Founders Fund.²⁹

Figma then reached unicorn status in 2020, with a $50 million Series D that valued the company at $2 billion,³⁰ in a round led by a16z.³¹

Most recently, the 2021 Figma Series E was the largest primary funding round, raising $250 million at a $10 billion valuation. This round was led by Durable Capital Partners, along with investment from groups like Morgan Stanley's Counterpoint Global.³²

Aside from these primary funding rounds, Figma was also valued at $20 billion by Adobe during their proposed merger. While Figma reverted back to its $10 billion valuation after that deal ended,³³ its 2024 tender offer, driven by investors such as Fidelity, valued the company at $12.5 billion.³⁴

Looking ahead

With the publication of its S-1 registration statement, Figma has taken a key step toward going public.³⁵ However, few details such as a proposed IPO date or offering price have been announced.

Check back here or take a look at Forge’s upcoming IPO calendar to stay in the loop about the Figma IPO and other potential public offerings.

If you’re interested in investing in private companies like Figma, read more about pre-IPO investing or register with Forge today to get started.