Shippo, a startup that helps ecommerce companies implement shipping of their products, announced today that it has closed a series B funding round worth $20 million.
Bessemer Venture Partners led the round, which included participation from Union Square Ventures, SoftTech VC, Version One Ventures, and 500 Startups. The news comes a little over a year after Shippo raised a $7 million series A, led by Union Square Ventures.
Jeremy Levine, a Bessemer partner who was also involved with the firm’s investment in ecommerce platform Shopify, spearheaded the deal and will join Shippo’s board of directors as part of the investment.
Shippo’s product is an automated system that companies can implement in order to provide users with a wide variety of shipping options from ecommerce sites. The company is able to set its customers up with easy access to several different shipping providers, rather than requiring firms to implement various systems.
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The cash will be used to fuel the expansion of Shippo’s product to reach businesses of all sizes. The startup counts eBay as one of its major customers and is now powering fulfillment for all of the online auction site’s orders in the U.S. and Canada, cofounder and CEO Laura Behrens Wu told VentureBeat in an interview.
Wu said Shippo wasn’t planning on raising funds but was approached by Bessemer for this round. She added that the team is looking forward to working with Levine, given his Shopify expertise.
Shippo is part of a cohort of companies working to provide retail businesses with easy access to essential building blocks so they don’t need to manage complicated process themselves. Others include Square, Stripe, and Shopify, which cover different parts of retail infrastructure.
