Flexe, a Seattle-based company that provides on-demand warehousing and fulfillment services, announced Tuesday it has raised $43 million in new funding. Flexe says it plans to use some of the proceeds from the Series B round for product development, and to more that double its current headcount.
San Francisco-based Activate Capital and New York-based Tiger Global Management led the investment, according to a news release. Other participants included Madrona Venture Group, Prologis Ventures, and Redpoint Ventures, Flexe says.
Flexe operates an online marketplace that connects warehouse operators with businesses needing storage space. Launched in 2013, the startup says its current network comprises more than 1,000 warehouses in North America.
Flexe says its customers include Ace Hardware and Lime, a bike, scooter, and car-sharing service headquartered in the San Francisco Bay Area.
Public storage and warehousing is a $26.6 billion market in the US alone, a figure that’s projected to grow nearly 4 percent this year, according to the research firm IBISWorld. On-demand warehouse services reportedly represent a fast-growing segment within the larger market.
“We believe the on-demand warehousing category will be as big as, if not bigger than, on-demand cloud computing, cars, and lodging,” Karl Siebrecht, co-founder and CEO of Flexe, says in the release.
Previously, Flexe raised funding rounds of $4.4 million in 2015 and $14.25 million in 2016.
