Online marketplace OnBuy.com has announced the closing of £35 million in series A+ funding through VC and strategic technology investors.
Since launching in 2016, OnBuy has worked to disrupt the status quo around eCommerce, taking on industry giants that dominate the market. With its ‘level playing field’ offering, OnBuy has attracted more than 7,000 retailers and hosts some 36 million products on its platform. The Bournemouth-based company takes the stance of never competing with its retailers, unlike some of its competitors.
In the space of four years, OnBuy has grown to £155m annualised GMV from an investment of £8m. The new investment of £35m, which will be a mix of debt and equity, will fuel further significant growth for OnBuy. It has attracted Bring Ventures, Norway Post venture arm, Fuel Ventures, Guy Hands (founder and chairman of Terra Firma Capital Partners), Knut Frängsmyr (Deputy CEO of Klarna) and Richard Goulding (founder of Play.com) amongst other strategic investors. A fully funded £2m allocation was set aside for retailers currently using the platform. This funding will enable OnBuy to further develop its product offering for both sellers and consumers and importantly, pursue global expansion.
Cas Paton, founder and CEO of OnBuy, comments, “The global eCommerce market is expected to total US$4.2 trillion by the end of 2021, a figure that is set to grow even more over the next few years, however, it’s alarming to see that the industry is still following the same detrimental and unfair marketplace model that has existed for years. I created OnBuy to provide something unique: a clear, level playing field – and in our 4 years of rapid growth, it’s clear to see that this is a model that works to everyone’s advantage.
“This investment will allow us to unlock even more potential and take OnBuy to the next level with an even better, easier to use product than ever before. We’ve made it this far with the help of our early angels, amazing team, trusted retailers and of course all of our amazing customers, but we’re not nearly done yet. We’re here to make noise, challenge the status quo and change the digital marketplace landscape forever.”
Thomas Tscherning, Bring Ventures, EVP Norway Post comments, “OnBuy has experienced tremendous growth and we believe the company has a very promising future ahead. We look forward to being a part of OnBuy’s continued growth through this venture investment that we believe will strengthen our portfolio of eCommerce activities.”
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