Square's 2015 IPO note from Jack Dorsey

About this letter

Jack Dorsey, Square's co-founder, president and chief executive, wrote this short note for the registration statement on form S-1 that Square filed with the SEC on 14 October 2015 ahead of its initial public offering. Headed 'A note from Jack' and signed with his first name, it is written to prospective investors. Dorsey was then also chief executive of Twitter, which the prospectus says may at times affect his ability to devote time to Square.

He tells the founding story: his co-founder Jim McKelvey could not accept a credit card for his art, and setting up a merchant account proved painful, exclusionary and unfair. He sets out the company's purpose and a three-part strategy, to grow payments and extend them into financial services and marketing services, and promises that as a public company Square will take the long view and keep putting customers first.

What to notice

1. 1

   Dorsey says he has given over 15 million shares, 20% of his own equity, to Square and the Start Small Foundation, and committed 40 million more, adding that he would rather own a smaller part of something big.

“I’d rather have a smaller part of something big than a bigger part of something small.”