Dropoff, which offers technology-backed same-day delivery solution for business, announced Monday it raised $8.5 million in Series B funding led by Fulcrum Equity Partners in Atlanta.
Other participants in the round include distinguished firms and Series A investors including Greycroft Partners and Correlation Ventures.
The completed Series B comes on heels of announcing expansion to three new markets — San Diego, Fort Worth, and Nashville — bringing the number of cities Dropoff serves to 15. The funds will be used in large part to ultimately expand to 50 markets.
“We are delighted to announce this milestone, which has put us on track to scale our innovative, same-day delivery solution at an exciting pace,” said Sean Spector, CEO of Dropoff.
“Expectations have evolved, prompting more businesses to turn to same-day delivery to solve last mile challenges and satisfy their customers. This is helping to fuel our growth.”
As part of Dropoff’s concerted expansion effort, the funds will be used to grow local market teams as well as increase staffing at the company’s Austin-based headquarters by more than 50% in the next 18 months. Dropoff is expected to announce additional markets and regional office openings in the near future.
“Technology is creating a new standard in same-day delivery, and Dropoff is leading the way with a robust, proprietary platform,” said James Douglass, Partner at Fulcrum Equity Partners. “We’re excited to watch their vision and leadership reshape the logistics industry.”