When Kleiner Perkins led Stored’s $12.4 million Series A in 2019, its founders were in their early 20s and so passionate about their startups that they each set their own pace to focus on growing the business. dropped out of their schools.
Fast-forward two years and Stard — an Atlanta-based company that developed a cloud supply chain — is again raising more capital in a round led by Kleiner Perkins.
This time around, Stored has raised $90 million in a Series D round of funding at a post-money valuation of $1.125 billion — more than double the $510 million that the company had when it raised $65 million in Series C financing six months ago. was the value. .
In fact, today’s funding is Stored’s third since early December of 2020, when it raised its Series B led by Peter Thiel’s Founders Fund, taking the company’s total since its 2015 inception to $205 million. brought to
In addition to Kleiner Perkins, Lux Capital, D1 Capital, Palm Tree Crew, Bond, Dynamo Ventures, Founders Fund, Lineage Logistics and Susa Ventures also participated in the Series D financing. In addition, Michael Rubin, founder of Fanatics and founder of GSI Commerce; Carlos Cashman, CEO of Thresio; Max Mullen, co-founder of Instacart; and Will Gabrik, Stripe’s CPO, put the money in the round.
Founders Sean Henry, 24, and Jacob Boudreau, 23, met while Henry was at Georgia Tech and Boudreau was in online classes at Arizona State (ASU), but running their own business, a software development firm in Atlanta.
Over time, Stored has evolved into a cloud supply chain that can give companies a way to compete and grow with logistics, and provides a unified platform “that’s available exactly when they need it.” It is needed,” Henry said. Stored combines physical logistics services such as freight, warehousing and fulfillment into a platform that aims to provide “full visibility, rapid customization and elastic scale” for its users.
About two months ago, Stard announced the opening of its first fulfillment center in Atlanta, a 386,000-square-foot facility that incorporates warehouse robotics and automation technologies. “It was the first time we were in a building that was driving it to the end,” Henry said.
And today, the company is announcing that it has acquired Connecticut-based Fulfillment Works, a 22-year-old company with direct-to-consumer (DTC) experience and warehouses in Nevada and its home state.
With FulfillmentWorks, the company says it has grown its first-party warehouse to a network of more than 400 warehouse partners and 15,000 carriers.
While Stard wouldn’t disclose the amount it paid for Fulfillment Works, Henry did share some of Stard’s impressive financial metrics. The company, he said, registered 300+% growth for the third year in a row in 2020, and is on track to do so again in 2021. According to Henry, Stard generated more than $100 million in revenue in the first two quarters of 2021. , and its headcount has been increased from 160 people last year to more than 450 so far in 2021 (which includes about 150 Fulfillment Works employees). And since the fourth quarter is often when people shop the most online, Henry expects the three-month period to be Stored’s heaviest revenue quarter.
In some context, Stored’s new sales in the second quarter of 2020 were “7x” compared to the same period last year. So far in the third quarter, sales have increased nearly 10 times, according to Henry.
Simply put, Stored aims to give brands a way to compete with the likes of Amazon, which has set expectations for faster fulfillment and delivery. The company guarantees two-day shipping anywhere in the country.
“Supply chain is the new competitive battleground,” Henry said. “Today’s shopping expectations set by Amazon and the rise of the omni-channel shopper put immense pressure on companies to maintain more agile and efficient supply chains … We want every company to have world-class, Prime-like supplies. chains.”
What makes Stored unique, according to Henry, is that it has built what it considers to be the only end-to-end logistics network that links physical infrastructure with software.
It’s also one of the reasons why Kleiner Perkins doubled down on his investment in the company.
Stored’s board of directors and Kleiner Perkins partner Ilya Fushman also said Henry displayed “amazing maturity and foresight” at the time of his firm’s investment in 2019.
At a high level, the firm was described as having an “incredibly large market opportunity”.
“There are trillions of dollars of products consumers are walking around with the expectation that these products will be available to them on the same day or the next day,” Fuchman told . “And while companies like Amazon have built amazing infrastructure to do this themselves, the rest of the world hasn’t really caught on… so it’s time to build software and services to modernize this multitrillion-dollar market.” Amazing opportunity.”
In other words, Fushman explained, the store is serving as a “plug and play” or “one stop shop” for retailers and merchants, so they don’t have to spend resources on their own warehouses or create their own logistics platforms. No need to create.
Stored launched the software part of its business in January 2020, and grew by 900% during the year, and is today one of the fastest growing parts of its business.
“We built the software to run our logistics and network of hundreds of warehouses,” Henry told . “But if companies want to use the same systems for existing logistics, they can buy our software to get that kind of visibility.”