Internet Sofa Brand Burrow Receives $14 Million In Financing Using Pure Online Sales Model

- Mar 30, 2018 -

Internet sofa brand Burrow has just won a new round of financing led by New Enterprise Associates with a financing amount of US$14 million. The previous seed round's investors Red&Blue Ventures and Y Combinator Continuity continued to follow suit in this round.


Stephen Kuhl, the founder of the company, said in an interview that the new financing will be used to hire staff, set up factories and introduce non-sofa products. Their plan is to build Burrow into a “family life brand”.


The under-the-shelf home brand IKEA has carried forward the assembly furniture. The assembled furniture designed by IKEA is easy to carry and transport, and it also reduces the storage and logistics costs. However, this also means that customers need to perform complicated installation processes or pay expensive on-site installation fees. According to statistics, IKEA produces approximately 1400 manuals each year to help customers install furniture. The complicated and time-consuming installation of IKEA furniture is therefore commonly referred to as “anti-human” and “husband killer”.


Burrow's original intention is derived from Kuhl's sofa purchase experience at IKEA. When he was in college, he and another founder, Kabeer Chopra, bought a sofa at IKEA. They spent weeks waiting for the wood they wanted. In order to save shipping costs, they had to work together to transport the sofa home. Finally, It took Kuhl another several hours to install the sofa.


Kuhl said: “In general, sofas are either cheap or poor quality, they are very bad to use, they are bulky and expensive, they are often shipped for months and they are very cumbersome to transport. They encounter turning staircases and narrow passages during the handling process. It's even more a mess. Modular sofas are exactly what modern consumers are looking for in high quality and easy shopping.”


Burrow hatched in YC Accelerator in 2016. Their main product module sofa can be separated and shipped in several separate small boxes. The assembly process can easily be assembled in ten minutes without tools. Customers can reorganize the sofa according to different living spaces, even if the moving sofa can be easily disassembled and transported again. In appearance, the modular sofa adopts the simple design of IKEA style, and customers can freely choose one to four sofas.


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