If your company is trying to build a consumer brand, you should learn about CircleUp. They stand out in the crowded crowdfunding space because of their distinctive and innovative approach.
Their basic insight is that consumer brands generate an enormous amount of data across the retail and distribution landscape. This is true for emerging as well as established brands.
CircleUp takes a “big data” approach to finding and evaluating new investments. They monitor 1.2 million emerging consumer brand companies. That is a lot!!
They crunch on average 92,000 data points for each company. That’s also a lot!!
From all of this crunching they gain tremendous insights into growing sectors, growing brands, and the trajectories of both successes and also-rans in consumer brands.
And it has yielded, so far, just over 250 companies that have raised north of $390 million through their platform. Funded companies include:
- Food and beverage product companies
- Meal and food delivery
- Clothing brands
- Manufactured goods including pool floaties and flip flops
If all of this sounds intriguing and you’d like to learn more, here are a few resources.
Podcast Interview with CircleUp
This 35 minute interview with CircleUp co-founder Rory Eakin stirred my imagination. He details the history and evolution of the model CircleUp uses to find needles in a haystack.
Analysis of Their $125 Million Fund
NOSH, a natural food industry newsletter, wrote a good analysis of CircleUp’s venture capital fund which closed at the end of October 2017.
Cosmetics Company Fundraising
This overview of a $3MM “seed” raise by a brand of cruelty-free, long-lasting cosmetics in October 2017 provides insight into the stage of development a company must achieve in order to be successful on the CircleUp platform.
CircleUp’s New Debt Offering
TechCrunch analyzes the new lending capability called CircleUp Credit Advisors which provides growing consumer product companies with debt for working capital. Loans range from $25,000 to $600,000 and previous equity recipients seem to get first dibs, which is not surprising. This allows equity investors to see their portfolio companies grow without dilution.