Clutter, A Startup Taking On Public Storage, Has Raised $64M
Public storage is an industry that slowly but surely gets disrupted about once a decade. Self storage facilities are everywhere, in every little town and city across the country. The premise is easy and has been around for decades. You rent a warehouse like storage unit and come and go as you please. You pay a monthly payment and your stuff is pretty safe. The first self storage facility opened in Florida in 1958. The first chain of self storage facilities opened for business in Texas in 1960.
In 1998 the first significant disruption in self storage came. A Clearwater company started manufacturing portable self storage units that they would pick up on their proprietary trucks, take to their facilities, where users could come and get their stuff at their leisure. This was of course PODS.
A few startups have had other ideas for disrupting self storage. Sparefoot, originally wanted to be the Airbnb of storage, utilizing excess space in people’s homes for storage purposes. They eventually pivoted to a site the finds the best deals on storage.
Clutter, has reimagined storage all together. The Los Angeles based startup brings their vans to your home, loads your stuff on their truck and stores it for you. When you want something back, like your skis, or box of old albums, you can use an app to retrieve it and they bring it back to you. One of the ways they are able to make money is actually storing your stuff in less desirable locations with cheaper monthly rent. Since the user never goes to the facility, they don’t care where it’s located.
The company announced on Tuesday that they had closed a $64 million dollar series-C round led by UK based Atomico with GV (Google Ventures) and Fifth Wall participating. Sequoia Capital, which led the company’s series-A and series-B rounds, also participated.
“Storage is a large industry that has not been optimized or refined by technology,” Sequoia partner Omar Hamoui told TechCrunch. He believes there’s “room for more than one of these companies to be there.”
Clutter is reportedly profitable on every single customer and producing gross profit in every city they operate in. Clutter operates in Los Angeles, San Francisco, New York, New Jersey, Chicago, Seattle, Santa Barbara, San Diego and Orange County. They are using a portion of this new investment to expand in new cities. With Atomico’s involvement they also plan to rapidly grow internationally.
You can check out Clutter here.