Rush ReCommerce raises $12.9 million to advance its solution for home goods e-commerce returns
Rush ReCommerce has processed over 225,000 products with a retail value of $60 million and has helped save over 5 million pounds of products from landfills
Rush ReCommerce, a recommerce software and service provider, has closed a $12.9 million Series A financing. The company intends to use the newly invested capital to enhance its solution and accelerate the growth of its recommerce network. The round was led by Beringea with participation from Advantage Capital and existing shareholders.
Rush ReCommerce has developed an end-to-end solution for home goods ecommerce returns and excess products. Most returns, especially bulky items, end up stuck in warehouses or may be disposed of due to high shipping and processing costs. With Rush ReCommerce's solution, products are returned directly to Rush's network and processed with specialized software that evaluates products for greater recovery. The company is pioneering resale of open box home goods online, through its flagship marketplace The Rush Market.
Rush ReCommerce has processed over 225,000 products with a retail value of $60 million and has helped save over 5 million pounds of products from landfills. With its multi-faceted approach to tackle this ever-growing problem, the company's mission is to turn the negative aspects of returns into positives for retailers, suppliers, customers, and the environment. Rush ReCommerce is currently working with 150 manufacturers and brands to handle their online return volume.
Rush ReCommerce CEO and Co-Founder Doug Nielsen has spent the majority of his career in home furnishings ecommerce: "Online returns are a huge problem for ecommerce players. The returns create dents in the sellers' customer experience and profits. We are working to pound out those dents. We're excited to partner with like-minded investors who recognize this growing problem and are committed to helping support our mission."
"The market needs addressed by Rush ReCommerce's solutions will only grow as the ecommerce model displaces brick-and-mortar shopping for even large home goods purchases," said William Blake III, lead investor in the round and partner at Beringea. "By bringing bulky products that would otherwise end up in a landfill back into the circular economy, Rush ReCommerce is a platform for brands to profitably meet sustainability goals."
"Rush ReCommerce is a great example of the types of businesses we seek to support. The company has a unique model that is changing the way goods are recirculated and distributed to new customers. This model has an immense opportunity for expansion, and we are eager to see it grow," said Damon Rawie, Managing Director, Advantage Capital. "Additionally, we are excited to see the company developing in a part of Omaha that will benefit greatly from the additional jobs the company's expansion will bring."
About Rush ReCommerce Rush ReCommerce was founded with a mission to solve the challenge of large-scale returns from ecommerce. Doug Nielsen, Julie Mahloch, and Jeff DeRuiter wanted to create a sustainable solution to one of the largest growing ecommerce issues - returns & overstocks. Rush ReCommerce has created a solution with a meaningful connection between brands and consumers to unlock a circular economy of recovery for returns. Proprietary software and processing allow partners an opportunity to resell items for higher recovery value. With over 150 manufacturers and brands on the platform currently, Rush ReCommerce is on its way to being the industry leader in helping solve this ever-growing issue.
About Beringea Beringea is a transatlantic venture capital investor that seeks to create lasting success for rapidly scaling entrepreneurial companies. With 30+ employees across offices in Detroit (U.S.) and London (U.K.), we provide patient and intelligent capital and a global footprint to back founders throughout their journey, helping them overcome barriers to scale and build international success stories.
Our track record of three decades of successful investing across a wide range of sectors has inspired our own entrepreneurial ethos; cultivated an exceptional community of entrepreneurs and investors; and fostered the experience required to create substantial businesses and deliver value for shareholders in our funds. The diversity of background, opinion, and expertise throughout our team reflects the community of founders and companies we support and enables us to collaborate effectively with portfolio founders to capitalize on opportunities to successfully reach their goals. For more, visit www.beringea.com.
About Advantage Capital
Advantage Capital provides financing to established and emerging companies located in communities underserved by conventional sources of capital. Since 1992, the firm has invested more than $3.8 billion in companies from a diverse array of industry sectors and has helped support more than 66,000 jobs. Learn more at www.advantagecap.com, or via Twitter or LinkedIn.
SOURCE Rush ReCommerce