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Home > About Branders.com > Press Room > Jan. 10, 2000

Branders.com raises $20 million in latest funding round

Financing for online business-to-business (B2B) promotional products provider reaches $30 million

San Mateo, CA - Jan. 10, 2000 - Branders.com (www.branders.com), the premiere business-to-business (B2B) online provider of promotional products, today announced that it has raised $20 million in its third round of financing. Total private funding secured by Branders.com is $30 million within seven months, a promotional product industry record.

ABS Ventures leads the financing round, joining renowned Silicon Valley investors Menlo Ventures, Altos Ventures, Doll Capital and Discovery Ventures in the funding of Branders.com.

"These funds are critical in continuing the development of the very best products and services for our customer, the sales and marketing professional," Jerry McLaughlin, president and CEO, Branders.com, said."With a combination of dedication to Customer Service and our advanced visualization technology, which allows customers to see online what the finished product will look like before they order, Branders.com is poised to revolutionize the promotional products industry.

Branders.com's latest financing round comes on the heels of two earlier venture rounds since May 1999. Investors expressed enthusiasm for the potential of selling promotional products online, citing strong customer demand and no viable online solution available today for the $13 billion industry.

Menlo Ventures ranks Branders.com highly on their roster of world class internet players, including Hotmail, UUNet Technologies and Infoseek. "We've financed more than 300 companies over the last 25 years and Branders.com is one of the fastest developing companies that I have ever been involved with," said DuBose Montgomery, general partner, Menlo Ventures. "Its business-to-business (B2B) solution for custom-branded promotional items is the right solution at the right time led by the right management team."

Branders.com, founded in February 1999 and launching later this month, introduces a new way to order promotional products: a one-stop shop on the Web that allows users to "see before they buy." The site allows buyers to customize products with their logo, view the results and place orders all instantly online. "Customers tell us that purchasing promotional products today is cumbersome and time consuming. Branders.com reduces the time needed for purchase from an average of 21 days to ten minutes online", said McLaughlin.

"I've looked at over 200 business-to-business (B2B) ecommerce companies and Branders.com has one of the top business models I've seen," said Gretchen Teagarden, principal and research analyst, Thomas Weisel & Partners.

About Branders.com
Branders.com is the premiere online provider of custom-branded promotional items. The company offers more than 2000 products from over 35 major suppliers with online finding, branding and purchasing tools. At the site, corporate buyers and agencies will find many special online features including project folders, instant price quotes and PhotoSample technology, allowing buyers to customize promotional products and view them in real time. Branders.com is headquartered in San Mateo, California.

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