Fab.com raises $105 million
July 19, 2012 04:27 PM
Members-only flash sale retailer Fab.com has raised $105 million in its Series C funding round. Fab says this round was led by venture capital firm Atomico, which was founded by Niklas Zennström, who in 2003 co-founded web phone and communication service Skype.
Fab, which sells home décor and other designer products, intends to use some of the capital to build warehouse capacity and increase inventory, says CEO Jason Goldberg. “One of the things we're working the hardest on is speeding up our ship times,” he says. “We know all too well that the last thing you want to do is wait more than a couple of days for your next great design find to reach your home or workplace.”
He says that Fab.com, which launched in 2011 and is now No. 449 in the Internet Retailer Top 500 Guide, offers some 10,000 products each day, up from 2,500 at the end of 2011. “We’ve got even bigger plans to have tens of thousands of products on Fab in the near future, all easily discoverable and fun to find,” Goldberg says. “We want people to be able to turn to Fab for any design need, be it a sofa, chair, lamp, bed sheet, flatware, poster, a pizza T-Shirt or a jellyfish aquarium, or whatever makes you smile.”
Capital also will go toward technology, social and mobile endeavors, he adds. And Fab will expand its network of product designers, strengthening its supply chain, and expanding globally. Last month, the retailer opened up shop in Europe. “We anticipate that 20% of Fab’s revenue in 2012 will come from outside the U.S.,” he says. “Today we’re selling in the U.S., Canada, and 18 [European] countries.”
Other participants in the funding round include Andreessen Horowitz, Menlo Ventures, First Round Capital, David Bohnett’s Baroda Ventures, ru-Net Technology Partners, Pinnacle Ventures, Docomo Capital, Mayfield Fund and Troy Carter.