SAN CARLOS, Calif.–(BUSINESS WIRE)–June 16, 2003–AuctionDrop, the leading eBay consignment service, today announced it has completed a $2.5 million round of funding led by Mobius Venture Capitaland Draper Associates, bringing the total raised to over $3.0 million. This second round of funding will enable AuctionDrop to expand its operations nationally by the end of 2003. AuctionDrop’smission is to make buying and selling on eBay an easy and convenient proposition for its customers.
“We are extremely pleased to have this renewed commitment from our investors,” said Randy Adams, chief executive officer of AuctionDrop. “Our new financing will allow us to open additional locations across the country and develop AuctionDrop into a nationally recognized and trusted brand. Profitability is expected to follow within the year.”
Plans are underway to open five additional San Francisco Bay Area locations. The San Carlos headquarters will act as a hub for the Bay Area from which all professional photography, eBay listing, payment processing, shipping and returns will take place. Los Angeles is scheduled to follow by fall and AuctionDrop has plans to open its New York location by Q1 2004. To date, AuctionDrop has listed thousands of items for sale, with a sell-through of 90% and a highly positive feedback rating from satisfied eBay buyers.
“AuctionDrop’s achievement with its pilot location has surpassed our expectations,” said Heidi Roizen, managing director at Mobius Venture Capital. “AuctionDrop is the first retail location where people can go and connect with eBay. There is enormous potential in this market and we believe that the AuctionDrop team will successfully tap into it at a national level.”
AuctionDrop’s first retail location opened in March 2003. AuctionDrop has since become a ‘PowerSeller’ on eBay in record time, opening the door to eBay’s vast online marketplace for millions of potential customers who might not have the time, inclination or computer savvy to auction items themselves. As a PowerSeller, AuctionDrop is an exemplary member of the eBay community and has achieved and maintained a 99.9% positive feedback rating and an excellent sales performance record.
About AuctionDrop
AuctionDrop is the first retail company dedicated to providing a simple, fast and convenient way for consumers to sell goods on eBay. Founded in 2002 by Randy Adams, Bill Rollinson and Andy Jeffrey, AuctionDrop is a privately owned company. Rollinson and Adams also founded the first online retailer on the web, the Internet Shopping Network in 1994. AuctionDrop receives funding from leading Silicon Valley venture firms Draper Associates and Mobius Venture Capital. For more information go to www.auctiondrop.com or call toll free 866/DROP-IT-OFF (866/376-7486).
AuctionDrop is a trademark of AB Stores, Inc. All other product and company names may be trademarks of their respective companies.
