MakeSpace raises $55M to make storage fun: The Return of the Non-Gig Startups
Even storage can be sexy... with $55M in fresh venture funding packed in. When you think of storage, you probably picture massive orange Public Storage facilities on the side of I-95 that inspire horror-thriller movie plots. MakeSpace wants to be the fun, non-horror version of that — and it just packed up an extra $55M in funding:
- Unlike OG storage companies, MakeSpace doesn't want you ever to visit its units — its slogan is literally: "Never visit a self-storage unit again!" Niiice.
- Order in-app: MakeSpace pick ups, stores, and delivers your valuables (or clutter). You don't have to rent a U-Haul or lug anything (MakeSpace really wants you to know: it's not Public Storage).
- The catch: To keep costs low, units are located in inconvenient places with lower rent — you can't pop by 24/7 to pick up your golf clubs (you get them delivered).
The storage industry shouldn't be popping... Home sales dropped 18% in April, so you'd think there'd be less moving/storing happening. But MakeSpace's sales have grown 30% more than expected because it's actually the opposite:
- People are moving back to their childhood homes in droves: New leasing in Manhattan and Brooklyn plunged 70% in April.
- Corona-Spring cleaning: More time at home means more time to clear out and store all that clutter that's been piling up for the past ten years.
The return of the non-gig startups... A VC-funded storage startup might be inclined to call itself the "Uber for Storage." But MakeSpace employs only full-timers — this no-contractor biz model is becoming increasingly rare in the startup world. This out-of-the-box thinking in a gigi-fied world could be a selling point — Gig icons like Postmates and Lyft struggle with new gig economy laws, tension with workers, and bad PR.