A new OnBuy funding round is being sought to launch newly identified growth opportunities.
A previous OnBuy funding round raised £2.7million to launch the ecommerce platform and they are now seeking a top-up of £500k to develop the offering, become profitable and fuel it’s growth. OnBuy say that to date they have demonstrated one of the most efficient marketplace business models, allowing the marketplace to grow substantially through its initial investment of only £2.7m.
“Over the next three years, we expect our strategic growth plans to help us become a global top 10 marketplace. With our current growth rate at 9x per annum, we fully expect OnBuy to exceed £150m GMV in the next three years.”
– Cas Paton, founder and MD, OnBuy.com
Plans include integration with external partners to deliver innovative services, expanding the geographical reach of the platform, and increasing sales for sellers using on and offline marketing.
An additional OnBuy funding round would also support the introduction of new services, buying incentives, and expansion into new online territories. The online marketplace would expect to launch into 140 major countries within the two years following investment.
The company is currently at £12m gross market value (GMV) and is seeing growth at nearly 20% per month. The online marketplace is expected to exceed £150m GMV within three years, by 2022.
The company is looking for £500,000 to boost previous investment. Further to this round, the company plans to raise again in 2020 for £15million to accelerate the platform even further.
4 Responses
Question.
If Onbuy’s projections are so impressive, why can’t they raise money through conventional routes, especially while interest rates are at rock bottom?
Hmmmmmmm
I see they still have SwiftDeals ripping off their customers with Arbitrage.
Channel integration: There used to be a company that offered a free OnBuy channel integration for up to 50 sku’s, anybody know which one it is? Or maybe they stopped doing the free service
They should be ploughing any further investment into marketing the platform in the UK to grow it. We are listed on onbuy and sales are exceedinlgy poor, not worth closing the channel down because of the under £500 fee promotion but also far from spending any time trying to develop it.