The Singapore-centric tech subscription marvel, Circular, has successfully concluded its seed funding round, gathering a robust US$7.6m. This financial injection has propelled the company’s total valuation to an encouraging US$30m. The bulk of this funding was graciously extended by the Australian powerhouse, AirTree Ventures. Furthermore, a consortium of esteemed investors also rallied behind Circular, including names from YC Continuity Fund, Global Founders Capital, Partech Ventures, and January Capital.
The round also included angel investors like the founders of PropertyGuru, Funding Societies, Stashaway, Carousell, and Nutmeg.
Pioneering gadget subscriptions
Circular is not merely a commercial venture; it’s a vision. A vision to furnish tech lovers in Singapore and Australia with unhindered access to premium gadgets like iPhones, Samsung Galaxy devices, iPad Pros, and MacBook Pros, all through a subscription model. This unique model keeps the devices in rotation, ensuring they enjoy a long, useful life before meeting their end, thus significantly reducing electronic waste. Europe has already tasted this model, with companies like Grover, who amassed a staggering US$330 million in 2022.
However, the APAC region is just getting introduced to this notion, and Circular is at the helm of this initiative.
The company is relentless in its pursuit to broaden its horizons. With the newly acquired funds, Circular is all set to intensify its footprint across Singapore and Australia in the ensuing year. They’re not just stopping at individual consumers; a fresh B2B package called Circular for Business is also on the anvil. This expansion isn’t a shot in the dark; a proven track record backs it.
The startup boasts a 3X growth over the previous 12 months and envisions replicating this growth in the mentioned regions over the next year.
CEO and co-founder Nick Ramsay is the torchbearer of this sustainability crusade. Before his journey with Circular, Ramsay was entwined with MoneySmart Group, one of Southeast Asia’s financial product aggregators.
His tenure there was eye-opening, revealing how conventional financial products for consumers and SMEs were cementing the linear economy and outdated ownership concepts. Now, with Circular, he’s on a mission to revolutionise the tech consumption paradigm.
Navigating challenges and eyeing sustainability
The road ahead is full of hurdles. The ingrained preference for ownership, especially in Asia, poses a formidable challenge. This traditional mindset cherishes the ownership of physical goods as a badge of status and achievement. But Ramsay is up for “myth-busting.” He observes that the perceived value recovery upon upgrading devices is often a mirage. The depreciation, unexpected repair costs, and the hassle of reselling often go unnoticed.
Nevertheless, with the Singaporean government’s resolve to reduce e-waste, the environment is ripe for Circular’s model to flourish. The company’s model is a beacon of sustainability, keeping devices in circulation until the end of their lifecycle, offering new and refurbished gadgets, thereby minimising waste.
In a statement, AirTree founder and partner Craig Blair hailed Circular as a blend of emerging consumer trends, like the shift towards sustainability and changing ownership preferences, coupled with a desire to stay updated with the latest tech. The blend of these elements, along with a solid founding team, has ignited excitement to see where Circular leads the narrative of the circular economy.
