Boll - Branch, which sells sustainably sourced sheets, pillows, mattresses and towels, is announcing that it has raised $100 million in a strategic investment from L Cattertons Flagship Buyout Fund.This looks like a big change from the companys previous approach to funding.
It was self-funded for its first two years (resulting in what CEO Scott Tannen described as a lot of maxed out credit cards and five mortgages on my house), and even when it started looking at venture capital, it only raised a total of $12 million from a single institutional backer, Silas Capital.In fact, when Recode wrote about Boll - Branchs Series B last year, it described the startup as one that wants to raise as little venture capital as possible.Tannen said that when he founded the company with his wife Missy, they wanted to build a sustainable business from the ground up, and that wasnt just about the products they didnt want to build a company that was ultimately designed from day one to be sold.As a result, he said, Boll - Branch has been profitable for the past four years and is now bringing in nine-figure revenue.
He compared it to other L Catterton investments like The Honest Company and Peloton, companies that have become the winner in the startup competition and are ready to really become household names.In a statement, L Cattertons Nik Thukral described Boll - Branch as one of the most beloved bedding brands and said it capitalizes on several compelling trends including the emergence of authentic, pure, and chemical free products that can be traced back to their origin, as well as consumers heightened focus on healthy living.The companys next steps include expanding internationally Tannen said that while the company doesnt currently sell outside the United States, Its hard to imagine a country or market in the world that doesnt make sense for Boll - Branch.It will also continue expanding the product lineup.
Tannen hinted at really interesting product introductions coming in the next few months.
They might not be the most obvious additions to the lineup, but he said these decisions come from asking, What does the home goods brand of the future look like?He added, Thats what were trying to be, versus trying to look in the shopping mall and just creating a new version of something [that already exists].