On-demand storage operator Clutter just scored a huge round of funding from its venture capital partner.
The Los Angeles-based company announced that Sequoia Capital has invested $20 million. Clutter offers pick up, deliver and storage for personal belongings.
Investing in a better storage experience
The new round of funding closely follows a $9 million investment made by Sequoia late last year.
“Clutter’s strong use of technology enables them to provide a step-function better storage experience at price parity with the incumbents in this $30 billion market,” said Omar Hamoui, partner at Sequoia, in a written statement.
That brings Clutter’s funding to date to $32.3 million according to Crunchbase.
The company, founded in 2013, said that is has grown by a factor of 5x since the last funding round in October. The startup currently offers its services in Los Angeles, New York, the Bay Area, New Jersey, San Diego, Orange County and Ventura County. It now has 175 employees.
The new round of funding will fuel Clutter’s expansion into new markets.
“To have had Sequoia, an investor in Google, Apple, YouTube and other landmark companies, lead both of our rounds is a true testament to their belief in not only the team that we’ve created, but the market opportunity ahead of us,” said Brian Thomas, co-founder and CEO of Clutter (pictured at top with cofounder Ari Mir).
The race is on?
Clutter isn’t the only full-service storage company drawing investment capital. Its closest competitor, New York-based MakeSpace, recently raised $17.5 million to bring its total funding to $30.5 million. Like Clutter, MakeSpace was launched in 2013 and offers pick up, drop off and delivery of customer’s personal items and is also pursuing a rapid nationwide expansion.
The full-service storage industry has recently emerged as a viable alternative to traditional self-storage facilities with several different companies launching in urban markets across the country.