PHILADELPHIA--(BUSINESS WIRE)--Mainfactor, a Philadelphia based e-commerce company that buys, builds, and operates direct-to-consumer businesses, announced today that it has raised $69 million through a mix of seed round equity capital and a credit facility led by Upper90, a leading e-commerce investor.
Mainfactor’s founders have an extensive history in the e-commerce and entertainment industries, and the company will use the capital they have raised to acquire direct-to-consumer businesses and to grow them through digital marketing and collaborations with creators and artists. Mainfactor will also acquire direct-to-consumer and merchandise rights for entertainers in addition to making brand acquisitions. The company plans to develop technology that will enable entrepreneurs to receive valuations and to exit their e-commerce businesses in an expedited manner. Upper90 was joined by strategic investors including Khajak Keledjian, an entrepreneur and the Founder of Intermix, Gary Veloric, the Founder of Red Stripe Plane Group and Co-Founder of JG Wentworth, and Jean Pigozzi, a tech investor and renowned art collector.
Mainfactor was founded by Mike Fiebach, the founder and former CEO of the leading entertainment e-commerce and digital marketing company Fame House (now a part of Universal Music Group),Meredith Franzese who has years of experience in entertainment-driven roll-up businesses and consolidations, and Jamie Ross, a Shopify expert specializing in direct-to-consumer brand optimization.
“We believe in the power of e-commerce brands with a dedicated following, and the acceleration that experienced operations, creative collaborations, and digital marketing can bring to those businesses,” said Fiebach, Mainfactor’s CEO. “We are excited to partner with Upper90, a world-leader in e-commerce investments, to build a next generation direct-to-consumer platform that grows brands while generating new revenue streams for creators and artists.”
"The Mainfactor team has been at the forefront of the creator economy, giving them a unique insight into the growth potential of DTC companies," said Billy Libby, Co-founder and CEO, Upper90. "Upper90 has been involved in the e-commerce rollup ecosystem since Day One and we believe Mainfactor has found a way to acquire and scale quality brands."
Global e-commerce retail sales are expected to surpass $6.3 trillion by 2024. The rapid growth in online retail is partially powered by Shopify and other direct-to-consumer platforms that enable entrepreneurs, influencers, and entertainers to efficiently launch businesses. Mainfactor will help the online businesses that they acquire reach their full potential.
“We provide the founders of great direct-to-consumer brands the opportunity to achieve a lucrative exit quickly, and to continue to share in the growth of their business,” added Meredith Franzese, Mainfactor’s President. “By combining multiple brands and rights ownership under a single model driven by marketing, we are able to streamline operations to accelerate growth.”
Mainfactor is building a next generation e-commerce company powered by direct-to-consumer brands and creative collaborations. Learn more: www.mainfactor.com