What Is PICKUP?
The delivery company was launched out of Dallas, Texas, in 2014 by Brenda Stoner. Stoner, a single mom and serial entrepreneur, told The Dallas Morning News in 2017 that she came up with the idea for the company after she had trouble returning some patio furniture she had bought. From that struggle, the business of PICKUP came to be in the form of an app-based delivery service used for last-mile logistics and the delivery of otherwise tricky-to-move items.
In the seven years since it was founded, the technology-based company has built a significant customer base of retailers and commercial businesses. The startup now operates in 75 cities across the US and works with numerous big-name brands. To name a few, PICKUP works with Williams Sonoma, Big Lots, and At Home to help with the delivery of large and heavy items like furniture.
Money and Investors
The startup has raised a total of $26 million to date, according to Crunchbase. The first bout of fundraising came in 2015 when PICKUP took in $600,000 in a seed round. The startup then raised an undisclosed amount of money in a second seed round later that year before pulling in $1.9 million in a 2017 venture round from two unnamed investors.
The funding rounds got bigger as the company gained more traction. In 2018, PICKUP raised $5 million in capital for its business from four investors, including Noro-Moseley Partners and TDF Ventures. Then in April 2020, the company pulled in another $3.5 million in a second Series A involving just one investor.
This most recent round — closed in March — was a Series B led by NewRoad Capital Partners. This sum of money for the business was contributed to by a mix of new and returning investors, including TDF Ventures, Noro-Moseley Partners, Florida Funders, Autotech Ventures, and New York Angels.
The Future of the Company
The startup business plans to use this money to expand its business in multiple ways, hoping to accelerate the already unfolding growth. PICKUP will hire more employees in tech and operations, the company said. The startup is also looking to expand its customer base in its current areas of focus and in new markets that it hopes to enter soon.
In terms of takeaways for other entrepreneurs, Stoner highlights the importance of customer experience. “We take that very seriously,” she said in a recent interview with Crunchbase. Meanwhile, NewRoad Capital Partners operating partner Tracy Black lauded this focus on the customer as key to the success of the business.
“When Brenda highlights the customer experience, they want same-day deliveries, they want shorter two-hour committed windows, they want executions and the commitment of knowing they’re going to get that delivery when they expect it,” said Black.
About the Author
Jemima is a journalist who enjoys reporting on business, particularly small business and entrepreneurship.