{"id":17333,"date":"2014-07-03T12:43:58","date_gmt":"2014-07-03T19:43:58","guid":{"rendered":"http:\/\/www.web-strategist.com\/blog\/?p=17333"},"modified":"2014-07-07T08:33:57","modified_gmt":"2014-07-07T15:33:57","slug":"collaborative-economy-is-heavily-funded","status":"publish","type":"post","link":"https:\/\/web-strategist.com\/blog\/2014\/07\/03\/collaborative-economy-is-heavily-funded\/","title":{"rendered":"Why Investors are in Love with the Collaborative Economy"},"content":{"rendered":"

\"Money<\/a><\/center>Continued analysis of market funding in the Collaborative Economy.\u00a0<\/strong>Yesterday’s stunning news of European ridesharing company, BlaBlaCar prompted me to tally up the funding in 2014. Along with help from industry experts Lisa Gansky of\u00a0Mesh Labs<\/a>, Neal Gorenflo of\u00a0Shareable<\/a>, Mike Walsh of\u00a0Structure VC<\/a> and Michelle Regner of\u00a0Near-Me<\/a>. I tallied funding if the startup was over $1 million and there was a public record of the funding. I’ve published my analysis of funding in this movement\u00a0before,\u00a0from the banner funding month in April<\/a>,\u00a0the frequency of top VCs<\/a> and\u00a0my larger body of work looking at funding<\/a>\u00a0in the Collaborative Economy and Social Business.<\/p>\n

[2014 funding has increased 350% in deal size mainly due to large investments in Uber, Airbnb, Lyft, Lending Club, and BlaBlaCar]\u00a0<\/strong><\/p>\n

Exactly one year ago, the average funding amount was $29m.\u00a0<\/strong>In July 2013,\u00a0I surveyed a sample of\u00a0200 startups<\/a>\u00a0(read full report<\/a>). I found that 37% had been funded, with startups receiving an average of $29 million in funding.\u00a0The 200 had received over $2 billion in total funding, which is a very high amount for a largely undeveloped, pioneer market. \u00a0Interviews with several of the Venture Capitalists in this space indicated that they favor two-sided marketplaces that are scalable and have low inventory costs<\/p>\n

[In 2013, average funding was $29 million. In 2014, the average funding amount is $102 million due to outliers, like Uber, receiving over $1.2 billion]\u00a0<\/strong><\/p>\n

In the first half of 2014, the average funding amount, is a whopping $102 million.\u00a0<\/strong>The findings are stunning. I’ve not seen this much investment in tech startups for some time. Some data highlights: In seven short months, there’s been at least 24 distinct funding instances of at least $1 million or more in investment funding. Of those, Uber received the lion’s share of a whopping $1.2 billion in investment for global growth and product expansion. On average, $102 million is the common amount, but if you strip off the Uber investment, Airbnb, Lyft, and Lending Club are lower in investment amount, bringing the average closer to $52 million, which is still very high.<\/p>\n

\"Collaborative<\/a><\/p>\n

 <\/p>\n

\n


\nLast Seven Months of\u00a0Collaborative Economy Funding\u00a0by Date<\/strong>
\nYou can access the\u00a0Google sheet with this data by date, industry, and size<\/a>. Please note the numbers are shifting as new data is being added.<\/p>\n\n\n\n\n<\/colgroup>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Date and Source<\/td>\nStartup<\/td>\nAmount<\/td>\n<\/tr>\n
1\/10\/2014<\/a><\/td>\nSidecar<\/td>\n$1,000,000<\/td>\n<\/tr>\n
1\/20\/2014<\/a><\/td>\nHailo<\/td>\n$26,500,000<\/td>\n<\/tr>\n
1\/29\/2014<\/a><\/td>\nZopa<\/td>\n$22,700,000<\/td>\n<\/tr>\n
1\/30\/2014<\/a><\/td>\nScoot<\/td>\n$2,300,000<\/td>\n<\/tr>\n
2\/18\/2014<\/a><\/td>\nPostmates<\/td>\n$16,000,000<\/td>\n<\/tr>\n
2\/24\/2014<\/a><\/td>\nDeliv<\/td>\n$4,500,000<\/td>\n<\/tr>\n
2\/28\/2014<\/a><\/td>\nSkillShare<\/td>\n$6,100,000<\/td>\n<\/tr>\n
3\/20\/2014<\/a><\/td>\nPley<\/td>\n$6,800,000<\/td>\n<\/tr>\n
3\/26\/2014<\/a><\/td>\nCircleUp<\/td>\n$14,000,000<\/td>\n<\/tr>\n
4\/2\/2014<\/a><\/td>\nLyft<\/td>\n$250,000,000<\/td>\n<\/tr>\n
4\/8\/2014<\/a><\/td>\nAirbnb<\/td>\n$500,000,000<\/td>\n<\/tr>\n
4\/10\/2014<\/a><\/td>\nPivotdesk<\/td>\n$3,600,000<\/td>\n<\/tr>\n
4\/14\/2014<\/a><\/td>\nStorefront<\/td>\n$7,300,000<\/td>\n<\/tr>\n
4\/26\/2014<\/a><\/td>\nYerdle<\/td>\n$5,000,000<\/td>\n<\/tr>\n
4\/28\/2014<\/a><\/td>\nOurCrowd<\/td>\n$25,000,000<\/td>\n<\/tr>\n
4\/29\/2014<\/a><\/td>\nLendingClub<\/td>\n$115,000,000<\/td>\n<\/tr>\n
4\/30\/2014<\/a><\/td>\nMakeSpace<\/td>\n$8,000,000<\/td>\n<\/tr>\n
5\/4\/0140<\/a><\/td>\nProsper<\/td>\n$70,000,000<\/td>\n<\/tr>\n
6\/4\/2014<\/a><\/td>\nSidecar<\/td>\n$3,100,000<\/td>\n<\/tr>\n
6\/6\/2014<\/a><\/td>\nUber<\/td>\n$1,200,000,000<\/td>\n<\/tr>\n
6\/16\/2014<\/a><\/td>\nInstacart<\/td>\n$44,000,000<\/td>\n<\/tr>\n
6\/24\/2014<\/a><\/td>\nCargomatic<\/td>\n$2,600,000<\/td>\n<\/tr>\n
6\/24\/2014<\/a><\/td>\nRelayRide<\/td>\n$25,000,000<\/td>\n<\/tr>\n
7\/1\/2014<\/a><\/td>\nBlaBlaCar<\/td>\n$100,000,000<\/td>\n<\/tr>\n
7\/3\/2014<\/a><\/td>\nTraity<\/td>\n$4,700,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\n

Last Seven Months of\u00a0Collaborative Economy Funding\u00a0by\u00a0Amount<\/strong>
\nAbove image is the same data.<\/p>\n\n\n\n<\/colgroup>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Uber<\/td>\n$1,200,000,000<\/td>\n<\/tr>\n
Airbnb<\/td>\n$500,000,000<\/td>\n<\/tr>\n
Lyft<\/td>\n$250,000,000<\/td>\n<\/tr>\n
LendingClub<\/td>\n$115,000,000<\/td>\n<\/tr>\n
BlaBlaCar<\/td>\n$100,000,000<\/td>\n<\/tr>\n
Prosper<\/td>\n$70,000,000<\/td>\n<\/tr>\n
Instacart<\/td>\n$44,000,000<\/td>\n<\/tr>\n
Hailo<\/td>\n$26,500,000<\/td>\n<\/tr>\n
OurCrowd<\/td>\n$25,000,000<\/td>\n<\/tr>\n
RelayRide<\/td>\n$25,000,000<\/td>\n<\/tr>\n
Zopa<\/td>\n$22,700,000<\/td>\n<\/tr>\n
Postmates<\/td>\n$16,000,000<\/td>\n<\/tr>\n
CircleUp<\/td>\n$14,000,000<\/td>\n<\/tr>\n
MakeSpace<\/td>\n$8,000,000<\/td>\n<\/tr>\n
Storefront<\/td>\n$7,300,000<\/td>\n<\/tr>\n
Pley<\/td>\n$6,800,000<\/td>\n<\/tr>\n
SkillShare<\/td>\n$6,100,000<\/td>\n<\/tr>\n
Yerdle<\/td>\n$5,000,000<\/td>\n<\/tr>\n
Traity<\/td>\n$4,700,000<\/td>\n<\/tr>\n
Deliv<\/td>\n$4,500,000<\/td>\n<\/tr>\n
Pivotdesk<\/td>\n$3,600,000<\/td>\n<\/tr>\n
Sidecar<\/td>\n$3,100,000<\/td>\n<\/tr>\n
Cargomatic<\/td>\n$2,600,000<\/td>\n<\/tr>\n
Scoot<\/td>\n$2,300,000<\/td>\n<\/tr>\n
Sidecar<\/td>\n$1,000,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

<\/center>
\nData Summary
\n<\/strong><\/p>\n