OnBuy.com has announced it has secured a £3m investment from London-based VC fund Fuel Ventures after receiving numerous investment offers. The funding will facilitate the launch into more than 20 countries by the end of 2020, including the USA, Canada, Australia and the UAE.
The investment will be used to generate growth through expansion overseas, increased brand awareness and the development of new solutions, integrations and features across the platform. OnBuy will be doubling its team to support this substantial expansion.
OnBuy was launched in November 2016 by entrepreneur Cas Paton, after he realised there was a gap in the market for a marketplace that benefits the consumer through competitive pricing and product opportunity, but unlike other marketplaces, doesn’t go into direct competition with its sellers.
Since its inception in November 2016, OnBuy has partnered with more than 3,000 sellers, from household name brands to independent retailers, and offers more than 21 million products to eight million customers.
Cas Paton, founder and managing director of OnBuy, said: “OnBuy was born out of a belief that by being fair and transparent, we could create a better experience for both sellers and buyers; we wanted to do things differently and improve the marketplace landscape. We’ve created a marketplace that puts its buyers and sellers first, and now we’re giving the likes of Amazon a run for their money.
“We have an extremely efficient, scalable and sustainable business model, and the best technical framework to back it up, which is why we’ve achieved this level of success compared to some of our competitors raising upwards of £20m.
“With the backing of Fuel Ventures, we’re in the strongest and most exciting position we’ve ever been in. We’re delighted to have secured this investment, and we’re looking forward to creating immense head-turning growth over the next four years, including growing our team, expanding our reach and increasing our loyal customer base.”
Mark Pearson, founder of Fuel Ventures, commented: “After seeing the company’s impressive growth to date, it’s apparent that OnBuy is destined to become a global player in the eCommerce marketplace world. We’re thrilled to be a part of this journey and can’t wait to share OnBuy’s great achievements over the next few years.”