NEW YORK - April 11, 2022 - (Newswire.com)
Branch, the startup that offers premium office furniture built for remote workers and growing teams, has raised $10 million in Series A funding, bringing the company's total funding raised to date to $14M. The financing was led by Springdale Ventures, with participation from new and existing investors and angels active in the proptech and DTC markets.
Launched in 2019 by Greg Hayes, Sib Mahapatra and Verity Sylvester, Branch will use the financing to accelerate new product development, optimize its supply chain, expand headcount, and build a digital ecosystem around its products. The new capital will further the company in its mission to make quality products, office design services and ergonomic support more accessible to remote workers and hybrid teams looking to invest in workplace well-being without exorbitant price tags.
The financing builds on an exceptional year for Branch, which quadrupled revenue while approaching net profitability and generating a SaaS-like $2M of revenue per employee through unprecedented turbulence in supply chains. With a dual focus on serving consumers and on-premise corporate teams, a diversified mix of acquisition channels, and an industry-leading NPS score, Branch is well equipped to serve the expanded addressable market catalyzed by COVID-19 and the enduring shift to hybrid work. The business forecasts high eight figures of revenue and more than 200,000 customers served in 2022. Their top-rated Ergonomic Chair has sold out more than ten times since the start of the pandemic and received acclaim and numerous accolades from reviewers, press, and tens of thousands of consumers.
"Many of us spend more time interacting with office furniture than any other product except our mattress—and in our case, you're awake," said Greg Hayes, Co-Founder and CEO of Branch. "But most premium office furniture is expensive, especially for businesses purchasing through traditional dealers, and over the past two years of remote work, consumers have realized that 'fast furniture' doesn't cut it. By combining the craftsmanship, ergonomics and service of contract furniture with the ease and value of fast furniture, Branch supports office workers whether they're in the home office, on-premise with their team, or working hybrid across both environments."
In addition to Springdale, participating investors include Maywic Select Investments, Group RMC, Agya Ventures, and notable operators in the proptech and DTC worlds, including Ricky Joshi (Founder of Saatva Mattress), Ryan Simonetti (Founder of Convene), and Jiake Liu (Founder of Outer). All major existing investors, including Nine Four Ventures, Alate Partners, RRE and prominent angels like Ben Zises's SuperAngel Fund, participated in the round.
"The Branch founding team has identified and tapped into a massive opportunity amplified by a once-in-a-lifetime shift in the way people work," said Genevieve Gilbreath, Co-Founder and General Partner at Springdale Ventures. "They have created a brand-focused, high-growth, capital-efficient business that is transforming office furniture, and we are thrilled to be partnering with them."
The company's furniture line includes everything needed to outfit an office: ergonomic chairs, standing desks, workstations for teams, filing cabinets, conference room furniture and space division. Delivery is available in the 48 contiguous states and Canada through branchfurniture.com and branchfurniture.ca, with additional retail and physical channels soon to be announced.
About Branch
Launched in 2019, Branch makes furnishing flexible, ergonomic office spaces easy and affordable for remote workers and hybrid teams. Along with a curated line of thoughtful essentials, Branch provides end-to-end service to enterprise customers so they can design their dream office, purchase furniture, and handle delivery & assembly in one place. By removing dealer middlemen, Branch's collection costs half as much as premium furniture of comparable quality. For more information on Branch, visit branchfurniture.com.
About Springdale Ventures
Springdale Ventures is an Austin, Texas-based venture capital firm that partners with visionary founders to accelerate growth of transformative, early-stage consumer brands that are both digitally native and retail-ready. Led by successful entrepreneurs and operators, the $27 million fund has a team of over 30 years of track record of valuation creation and a combined more than 150 years of CPG experience, and it has invested in a group of stellar brands across categories including food & beverage, lifestyle, personal care, and wellness. To date, there are more than 20 portfolio companies under Springdale Ventures, including Caraway, KOS, Judy, BeatBox, Literati, and Canteen. www.springdaleventures.com/brands
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Original Source: Branch Raises $10 Million in Series A Funding to Sell Hybrid-Friendly Office Furniture Direct to Consumers and Businesses
