circuly

Late Seed

Sustainability

Co-Investors: 3

Fundraising

Closing: May 2024

Reasons to Invest

Enormous growth rates: 318% YoY MRR growth
438% avg. YoY subscription-GMV growth for circuly’s clients
The company’s circular economy solution serves about brands and retailers across 14 countries on 5 continent
Key clients include Riese & Müller, StrollMe, swing2sleep, TIER UK and bugaboo

Problem

Changing consumer behavior, stricter regulations and tough economies increasingly demand that retailers offer “circular economy” solutions like subscribing to products. But to manage and scale this model, retailers need a mature SaaS that masters the management & automation of physical product subscription businesses.

Solution

While there are SaaS solutions that focus on only digital subscriptions or subscription financing, circuly specialises in launching, managing and scaling the ever-growing category of physical product subscriptions.

USP

Circuly offers native APIs and a wide partner ecosystem to integrate with clients’ existing tech stacks, without requiring them to change systems.
Circuly is industry-agnostic, allowing growth across all physical and digital categories.
Contrary to the Grover model, circuly solely provides the SaaS and doesn’t handle warehousing, refurbishing or shipping items. This significantly reduces circuly’s upfront investment and thereby the risk for circuly’s investors.

Business Modell

Recurring: Monthly retainer (EUR 499 – EUR 2499/mo) plus 1.5% avg. commission on gross merchandise volume (GMV).

One-off: Onboarding fee of EUR 1900 – EUR 5600

Market

TAM: Global Market for Subscriptions (selection): Furniture: EUR 73bn CAGR 9%, Automotive: EUR 5bn CAGR 35%, Baby goods: EUR 100bn, Micro mobility: EUR 3bn CAGR 30%
SAM: European market for subscriptions: EUR 80bn
SOM: EUR 1bn

Traction

318% YoY MRR growth for circuly / EUR 43k MRR in March 2024
115k+ subscriptions and rentals have been powered by circuly since 2020
52k+ active clients’ subscriptions
438% avg. YoY subscription-GMV growth for circuly’s clients
Brands and retailers (e.g. Riese & Müller, StrollMe, swing2sleep, bugaboo) in 14 countries on 5 continents
18% CO2 reduction due to multiple rental cycles

Exit Potential

Circuly’s SaaS for physical product subscriptions appeals to digital subscription competitors. Its European presence, strong placement in the DACH region and English language compatibility ease integration with US-based firms, fostering acquisition discussions and growth goals.

Team

Nick Huijs

Co-CEO & Founder

Scott Galvao

Co-CEO

Deal Terms

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