TrueFacet, which sells pre-owned, authenticated watches and jewellery, is elevating a $10 million spherical of funding
The secondary luxurious items market has been rising wildly lately, with extra customers opting to each promote their calmly used luxurious items like clothes and jewellery for chilly onerous money, in addition to shopping for the pre-owned, authenticated, luxurious items of others.
One of many greatest beneficiaries of the development is The RealReal, an almost eight-year-old purchasing vacation spot for the rising inhabitants of people that may not be prepared or capable of buy a brand new Hermes Birkin bag however are prepared to purchase one in like-new situation for significantly much less. The concept — which appears to be working — is to create a virtuous cycle, whereby the bag’s authentic purchaser receives the majority of that re-sale worth, then makes use of the cash to purchase one other new purse (or a used one) that may be resold at a later cut-off date.
One other beneficiary of the development: TrueFacet, a five-year-old, New York-based market that claims to have greater than 40,000 watches and 55,000 items of pre-owned authenticated watches and jewellery on the market at its web site, and that has extra lately begun providing pre-owned timepieces immediately via manufacturers like Fendi Timepieces, Raymond Weil, and Roberto Coin that now accomplice with TrueFacet to hold their pre-owned timepieces with a manufacture guarantee.
Apparently, customers are shopping for what they’re collectively promoting. The corporate, which had beforehand raised $14.7 million in funding from traders, appears to be closing in on one other $10 million spherical, judging by freshly filed SEC paperwork that exhibits it has up to now raised $7 million in funding and is focusing on $9.eight million altogether.
TrueFacet’s backers embody Founders Co-op, Freestyle Capital, and Maveron, led by accomplice Jason Stoffer, who additionally occurs to sit down on the board of Dolls Kill, an edgy clothes market that we wrote about on Monday.
TrueFacet has some robust competitors within the house, together with Crown & Caliber, a six-year-old, Atlanta, Ga.-based firm that has by no means introduced outdoors funding, and 15-year-old, Germany-based Chrono24, which has raised €21 million over time. Each promote timepieces alone, nonetheless.
It additionally competes immediately with The RealReal, which has raised practically $300 million from traders and sells clothes, high-end house decor, in addition to jewellery and watches. (The corporate doesn’t get away publicly which of those classes outpace the others by way of gross sales.)
Apparently, like The RealReal, which now operates everlasting offline shops in each New York and L.A., TrueFacet can also be crossing the chasm into the offline world, although it’s taking child steps towards that finish.
Particularly, earlier this month, it introduced a partnership with Stephen Silver Effective Jewellery, which sells timepieces to many monied Bay Space VCs and different Silicon Valley bigs at shops in Redwood Metropolis and Menlo Park, Ca. In the meanwhile at the very least, the jeweler may also promote items from TrueFacet’s assortment.