Thrasio also achieved unicorn status with the funding.

Thrasio, one of the largest online sellers and acquirer of private label businesses on Amazon (NASDAQ: AMZN), raised $260 million in a Series C funding round led by Advent International. The funding achieved a pre-money valuation of $1 billion for Thrasio. (Crunchbase)

Thrasio claims it is the fastest US company ever to reach profitable unicorn status. The start-up has so far raised $ 520.5 million. The current funding is the fourth within a year.

Impressive growth numbers

Founded in July 2018, Thrasio has been profitable from day one, yet keeping up a blistering pace of growth.

It has acquired over 50 Amazon businesses so far, including 17 during the last quarter. Over the past two years, it has doubled revenues every 73 days.

The startup is among the top 25 sellers on Amazon, clocking over $ 300 million in pro forma revenue from over 6,000 products.

It has more than 300 employees and consultants on its payroll and kept up its pace of hiring even during the virus outbreak. It has less than 1% of employee turnover.

How it works

Typically, Thrasio acquires small businesses and brands for everyday products for prices in the range of $ 1 million+.

Thereafter, it invests in the business to boost its product development, supply chain management, and product marketing.

Many small and private-label businesses in the Fulfillment by Amazon (FBA) ecosystem have grown fast and become million-dollar brands. At this point, many of these business owners find themselves out of their depth and are happy to cash out at a fair price.

“We believe in doing exactly what we say we’ll do,” says co-CEO and co-founder Joshua Silberstein. That’s why we close on 98% of our term sheets, why we’ve paid 93% of our earn-outs, and why nearly a quarter of our acquisitions are referred to us by people who already sold their business to Thrasio.”

“We pay well in any economic climate and share the financial gains from growing their brands post-acquisition,” said co-CEO and co-founder Carlos Cashman. “So far, we’ve paid sellers more than $100 million.”

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