Austin-based logistics company Dropoff has raised a $7 million Series A round of funding to fuel expansion into new markets.
The investment was led by Greycroft Partners, with participation from new and existing investors, including Correlation Ventures, Texas Atlantic Capital, and Wild Basin Investments.
“This funding demonstrates how customers’ value and recognize what we are building – a transformative same-day logistics solution for businesses. We are focused on providing our customers with convenience, reliability and consistent service across multiple locations,” said Sean Spector, CEO and co-founder of Dropoff, in a statement. “We’ve had success in our first markets, Austin and Houston, and look forward to bringing the Dropoff experience to more cities. I’m excited to have our new and returning investor partners on board for Dropoff’s next stage of growth."
Dropoff launched in November 2014 and has made tens of thousands of deliveries for hundreds of business customers so far. Dropoff raised a $1.85 million round of funding in May 2014 from Austin Ventures LP, Silverton Partners, Mucker Capital and several angel investors.
“Dropoff has shown great traction and we are impressed with their vision for the future of same-day delivery for enterprise customers,” said Paul Bricault, Venture Partner at Greycroft Partners, in a statement. “The on-demand economy continues to grow and Dropoff is well-positioned to serve the same-day delivery needs of both traditional industries and the fast-growing new categories of healthcare, food & grocery, and retail & e-commerce.”
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