Toronto-based e-commerce startup Rebelstork, which has developed an online marketplace for buying and selling baby gear, has closed a $2 million CAD seed round. This represents the first round of funding for the startup.
“There’s a $2.1 billion market for used baby goods in Canada, and no one’s really monetizing it.”
Rebelstork did not disclose investors in the round, telling BetaKit they wished to remain anonymous, but noted they were a group of “ultra-high net worth individuals.” The funding will be used to accelerate the company’s growth, and will specifically be put toward new hires, marketing, and national expansion.
“We already ship products nationally, but we will be growing to be a national company,” Emily Hosie, founder and CEO of Rebelstork, told BetaKit. “It’s more about hiring the right people and being able to scale. We’ve proven that the concept works, so now it’s just about blowing it up.”
Founded in 2019, Rebelstork is enabling the buying and selling of overstock, open-boxed, and used baby gear at a reduced price. Through Rebelstork’s platform, parents can schedule pickups of their outgrown goods, which are taken to the company’s Toronto facility to be quality checked and condition rated, photographed, and listed.
Rebelstork’s pricing algorithm is intended to provide customers with accurate and fair pricing for used goods. It is based on variables such as make, model, condition, and market demand. During the COVID-19 pandemic, Rebelstork has also introduced a contact-free pickup feature.
Hosie has a background in trend forecasting, as vice president of merchandising at Saks Fifth Avenue and Saks off Fifth in New York City, trend buyer at Holt Renfrew, and division vice president at TJX Canada. She told BetaKit she launched Rebelstork when she was on maternity leave and saw a gap in the market for used baby goods.
“There’s a $2.1 billion market for used baby goods in Canada, and no one’s really monetizing it,” Hosie added, noting the startup has grown its customer base to include “thousands” of Canadian families.
The seed financing comes one month after Rebelstork moved into its Toronto headquarters. In the last six months, the company has added six people to its team, which currently sits at 10. Hosie noted the target for new hires will depend on the startup’s ability to scale following the seed round.
Rebelstork is currently seeking to be certified as a B Corporation, a designation awarded to companies that meet rigorous standards, ranging from environmental performance, accountability, and transparency. Canadian tech companies that are certified B Corporations include Raw Signal Group, Hootsuite, and Animikii, among others.
Hosie told BetaKit that Rebelstork’s sustainability in the circular economy and its partnership with The New Mom Project, a charity that donates baby gear to new mothers, are part of her broader effort to make Rebelstork a B Corporation.
StartUp HERE Toronto is a publishing partner of Betakit and this article was originally published on their site.