Branders.com Raises $20 Million in Latest Funding Round; Financing for Online Business-to-Business Promotional Products Provider Reaches $30 Million
Business Editors & High-Tech Writers
SAN MATEO, Calif.–(BUSINESS WIRE)–Jan. 10, 2000
Branders.com (www.branders.com), the premier business-to-business online provider of promotional products, today announced that it has raised $20 million in its third round of financing.
Total private funding secured by Branders.com to date is $30 million, a promotional products industry record.
ABS Ventures led the financing round, joining renowned Silicon Valley investors Menlo Ventures, Altos Ventures, Doll Capital and Discovery Ventures.
“These funds are critical in continuing the development of the very best products and services for our customer, the sales and marketing professional,” said Jerry McLaughlin, president and CEO, Branders.com.
“With a combination of dedication to customer support and our advanced visualization technology, which allows customers to see online what the finished product will look like before they order, Branders.com is poised to revolutionize the promotional products industry,” McLaughlin added.
Branders.com’s latest financing round comes on the heels of two earlier venture rounds since May 1999. Investors expressed enthusiasm for the potential of selling promotional products online, citing strong customer demand and no viable online solution available today for the $13 billion industry.
“We’ve financed more than 300 companies over the last 25 years, and Branders.com is one of the fastest-developing companies that I have ever been involved with,” said DuBose Montgomery, general partner, Menlo Ventures. “Branders.com’s business-to-business solution for custom-branded promotional items is the right solution at the right time led by the right management team.”
Menlo Ventures ranks Branders.com highly on its roster of world-class Internet players, including Hotmail, UUNet Technologies and Infoseek.
Branders.com, founded in February 1999 and launching later this month, introduces a new way to order promotional products: a one-stop shop on the Web that allows users to “see before they buy.” The site allows buyers to customize products with their logo, view the results and place orders all instantly online.
Branders.com reduces time needed for purchase from an industry average of 21 days today to fifteen minutes online, said McLaughlin.
“I’ve looked at over 200 business-to-business e-commerce companies, and Branders.com has one of the top business models I’ve seen,” said Gretchen Teagarden, principal and research analyst, Thomas Weisel & Partners.
Branders.com is the premier online provider of custom-branded promotional items. The company offers more than 2000 products from over 35 major suppliers with online finding, branding and purchasing tools.
At the site, corporate buyers and agencies will find many special online features including project folders, instant price quotes and PhotoSample(TM) technology, allowing buyers to customize promotional products and view them in real time. Branders.com has headquarters in San Mateo.
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