E-Commerce Funding Platform 8fig Nets $140M to Support Online Sellers

8fig, a startup that has developed a funding and management platform for e-commerce businesses, closed on a sizable amount of money of its own, raising $140 million in a Series B funding round – $40 million in equity and $100 million in debt.

The round, which brought the total amount to $196.5 million, was led by Koch Disruptive Technologies, with participation from existing investors Battery Ventures, Localglobe, Hetz, the Jesselson family, and Silicon Valley Bank, now a division of First Citizens Bank.

The Austin, Texas and Israel-based 8fig, which was co-founded by serial entrepreneurs Yaron Shapira, CEO, Assaf Dagan, CTO, and Roei Yellin, CRO, offers e-commerce enterprises an alluring substitute for conventional venture capital funding. After thoroughly examining and evaluating the company’s growth possibilities, the corporation instead offers money on more enticing terms than equity.

Online sellers can manage their funding and remittance schedules using the 8fig platform, which also offers tools for supply chain management, financial planning, and freight and logistics coordination.

“The global macroeconomic challenges we are experiencing make it difficult for ecommerce business owners to access the resources they need to succeed. 8fig is providing these online sellers with the financial support and tools necessary to thrive in any economic climate,” said Shapira.

The company focuses on mid-sized online retailers with at least $8,000 in monthly sales and an online store on a platform like Amazon.com, Shopify, eBay, or Wix, among others. It said any payments it agrees to give sellers are distributed incrementally over time rather than in one flat sum.

Since its founding in 2020, 8fig has given more than $500 million in investment to numerous online retailers. It claims to have grown its clientele by more than 900% and its revenue by more than 800% in the past year, however it withheld precise figures.