XCelerate Invests $250,000 In Tagless Style
by February 16, 2015 1:23 pm 379 views
Rod Ford and his XCelerate Capital have made a $250,000 investment in Tagless Style, a sustainable clothing marketplace that “upcycles” second-hand clothing.
XCelerate announced last month its intention to make major investments – and mentorships – with startups that have begun their operations and are looking to advance to the next level.
The $250,000 early-stage funding will be used to rapidly expand the customer base and product selection of Tagless Style.
“We have brought together an amazing group of partners to launch Tagless including Few and Goodwill Industries of Arkansas. XCelerate’s financial investment and mentorship will be a crucial part of our long term success,” says David Allan, CEO of Tagless Style. “XCelerate’s active investment model provides much more than just funding to our business and it feels like we are truly partners in a successful outcome.”
ARK CHALLENGE
Tagless Style is a graduate of the Ark Challenge 4 business accelerator program developed by Few, a design and development company in Little Rock.
During the Ark Challenge, the company launched its first version of the men’s sustainable clothing subscription service and has been working to scale its business model while increasing its merchandise selection.
The investment by XCelerate Capital is the first outside investor funding for the company.
“XCelerate Capital was attracted to the Tagless team because of their disruptive concept of Upcycling, returning second-hand clothing to department store quality without the environmental impact of manufacturing new clothing,” said Rod Ford, founder and managing partner of XCelerate Capital.
“Their business model creates tremendous value for the consumer while delivering upon the sustainability promise of a positive environmental, social, and economic impact through the reuse of materials. The Tagless model meets all three of our early stage funding criteria; disrupting a marketplace, cult following, and expansive growth opportunity,” Ford said.
HOW TAGLESS WORKS
Tagless Style touts itself as a sustainable online clothing marketplace that sells second-hand clothing through a partnership with Goodwill of Arkansas. It serves male customers looking for department store quality clothing merchandise.
By purchasing second-hand clothes, consumers are reducing their carbon footprint and supporting fair employment practices, the company’s CEO Allan says.
Tagless has warehouse space and access to clothing inventory with its community partner, Goodwill Industries of Arkansas.
Allan says his startup will source “the vast majority of our clothes” from the new Goodwill Resource Center in Southwest Little Rock.
Learn more at their web site at this link.