The mega furniture rental company Feather gets an additional extension of its credit line from Credit Suisse
FREMONT, CA: Furniture rental startup Feather secures a credit line of $30 million from Credit Suisse to accelerate its expansion into newer markets and cross-borders. The new funding arrives six months after the 3-year-old New York-based company closed a Series B round of funding worth $30 million led by Cobalt Capital. Before the recent raise in the credit line, Feather had already secured a total of $46 million in equity and debt financing to date.
Feather was founded by Jay Reno when the furniture and home décor rental services boomed, transforming the people’s view on rental and ownership of material possessions. The concept was also fuelled by his own life, where he has moved nine times in ten years, as well as the increasing amount of furniture waste in landfills.
“After World War II, people aspired to buy a house and cars, never move and enjoy their jobs forever,” he said. “It made sense back then, but 70 years later our generation and those younger than us, aspire to have freedom, flexibility and to lean into whatever feels right. Buying and owning things no longer make sense, so we rent a lot of things.”
As furniture is capital intensive, Feather wants to maintain complete control over its inventory, by making its furniture and managing the assets by itself, Reno said. Therefore, any new funding to the company will enable the startup to provide immense growth opportunities for additional private label offerings, sustainable initiatives, own logistics, and customer service.
Rentals starting at $19 a month, customers are given with a wide array of designs to choose from. Feather provides more than 350 pieces of furniture designed and manufactured from its factories located all across the world. The furniture is delivered and assembled within the span of a week, Reno said. Feather currently serves with headquarters in New York, San Francisco, Los Angeles, and Orange County, California.
As the number of people working from home in March increased, Feather also has experienced a 400 percent leap in merchandise, Reno said.
“People are saying they need to outfit their space at home to be more work-friendly, as well as realizing their home is partly a sanctuary and a work environment,” he added.