US Import Gain Means Flexport Sees No Recession for Some Months, Flexport founder Ryan Petersen reveals his secret for startup recruiting, Tech Moves: Former Expedia leader joins Peerspace; Flexport adds another Amazon exec, Supply Chain Management Companies With More Than $10M in Revenue. Better Tomorrow Ventures, Endeavor ScaleUp Growth, Fin Capital, Flexport, and Pareto Ventures, Cox Enterprises, Flexport, Fundrise, Kapor Capital, Lincoln Property Company, Overline VC, Pendulum, Playground Global, Wilshire Lane Capital, and XYZ Ventures, Bay Grove Capital, Flash Ventures, Flexport, Foundamental, Jungle Ventures, King River Capital, and Maersk Growth. : Where does your team feel a sense of belonging and inclusivity? Flexport International, LLC considers itself the OS of global trade. With a seemingly massive market opportunity and an obvious passion for what seemed a sleepy category, Flexport quickly raised $4 million from a gaggle of name-brand firms. Analyst Briefing Submitters are 7x more likely to receive a qualified connection. Petersen suddenly needed to deliver Silicon Valleystyle hypergrowth. Poskus predicts this will continue for at least the next two quarters and industry analysts agree. Flexport's most recent revenue is from 2017. Lets explore what type of risks investors might need to consider with a Flexport IPO. Apr. Alternative Assets purchased on the Public platform are not held in an Open to the Public Investing brokerage account and are self-custodied by the purchaser. Long Beach Mayor Robert Garcia sent the list to his staff; the city eased restrictions on stacking containers the next day. Buy fractional shares of fine art, collectibles, and more. For Ergobaby, collaboration helps launch products. It depends how desperate we were. Soon he was on the phone with Thiel to explain himself. There is a possibility of loss. This is not an offer, solicitation of an offer, or advice to buy or sell securities or open a brokerage account in any jurisdiction where Open to the Public Investing is not registered. The newest: Andreessen Horowitz, the prominent venture capital firm that joined Founders Fund, e-commerce standout Shopify and others in arming Petersen with a fresh $900 million war chest at an $8 billion valuation in January. An Oracle survey of 1,000 U.S. adults found that 87% reported being negatively affected by shipping struggles; half said theyd canceled an order in recent months. In the US alone, Flexport has to deal with 43 different trade regulators. San Francisco, California, United States 1001-5000 Debt Financing Private www.flexport.com 5,194 Highlights Acquisitions 2 Investments 49 Exits 1 Total Funding Amount $2.4B Contacts 1,016 Employee Profiles 39 But no one can dispute Petersens efficacy. As an investor, you are normally granted access to company-wide performance data such as sales, revenue, profit or loss statements, and so forth. In August 2018, they started Transmission LLC which provides ELD and GPS technology specific to managing a trucking fleet. Flexport is funded by 90 investors. SaaS, Android, Cloud Computing, Medical Device), Where the organization is headquartered (e.g. Turns out Full Container Load shipping (FCL) isnt really full. For most everyone else in the logistics business, it was exasperating. To view the presentation, or for more information about the 2023 Annual Meeting, please visit: www.VoteforPitneyBowes.com.Shareholders who have any questions or need assistance voting may contact . So he flew down to Los Angeles to see for himself. "A common response was, 'Oh, we don't need the internet in this industry. Its team of logistics experts lets focus on core business by ensuring goods arrive at fulfillment/distribution centers on time and at the lowest cost. Why you should check Bupa, HCF and others, You could be overspending on your health insurance, 25 Cheap Dividend Stocks With Safe Yields for 2023. The CB Insights tech market intelligence platform analyzes millions of data points on vendors, products, partnerships, and patents to help your team find their next technology solution. Onboard suppliers. Petersen realized he didnt really know. Its not one of those things where you have a product or you dont, says Founders Funds Trae Stephens. Its freight service includes an online dashboard for businesses to easily understand, purchase, manage, and track the services required for global trade. Petersens older brother David stayed up all night building and managing an early online video-game community. Digital freight forwarder Nowports reaches $1.1B valuation. Flexport has 750 employees, and the revenue per employee ratio is $628,000. Their latest acquisition was Crux Systems on October 10, 2019. I never want to sell the business. One of the benefits of an IPO; however, is a large infusion of capital that can fund expansion of services, infrastructure or both. Antidumping duties (ADD) are applied to goods that have been dumped into the U.S. market, sold at prices lower than what would be charged in the exporting countrys home market. Having already spent the first of SoftBanks $500 million, he realized he needed to shift course. Last year, the San Franciscobased firm generated its first profit, posting net income of $37 million. CNBC's 11th annual Disruptor 50 list will be revealed on-air and online this May. JSI and Jiko Bank are not affiliated with Public Holdings, Inc. (Public) or any of its subsidiaries. Why? Ultimately Flexport sued WGA and ended the contract. All investments involve the risk of loss and the past performance of a security or a financial product does not guarantee future results or returns. inventory management. No money or other consideration is being solicited and, if sent in response, will not be accepted. Insure all of your cargo or cover it by the shipment. Flexport manages the shipping of 25 products from a factory in China to two hubs in California and Kentucky and offsets their carbon footprint. He engages where a lot of executives wont. The company is headquartered in San Francisco, California, [4] has thousands of employees and has annual revenues of more than $3.3 billion. Here are some key takeaways. As recently as 2020, Flexport did not seem to be exploring an IPO. Apex Clearing Corporation, our clearing firm, has additional insurance coverage in excess of the regular SIPC limits. It tracks shipments for shippers and logistics service providers helping them leverage transportation to deliver better customer service. In 2013, when the company was founded, the freight industry largely functioned still via paper and faxes. Sons $10 billion investment was on life support. She loves the stories that numbers tell us about business, relationships and health. 2023 CNBC LLC. Soon a team of 25 staff in China was sourcing PPE for Flexports relief efforts full-time. None of these entities provide legal, tax, or accounting advice. Petersen agrees: I call our sales process like playing Battleship. Past performance is no guarantee of future results. The company reported consistent growth from around $30 million in 2014 to $1.7 billion in 2020. He appears sometimes uninformed, says Robert Khachatryan, who founded the 55-person freight forwarder Freight Right Global Logistics in greater Los Angeles in 2007. It is assuming $122 billion in . You have a purpose. Which investors participated in the most funding rounds? Once you sell your business, youre just another rich guy. Please ensure that you fully understand the risks involved before trading: Legal Disclosures, Apex Crypto. Their most recent valuation was $3.2 billion. Tive provides real-time supply chain visibility insights to help logistics professionals manage their in-transit shipments' locations and conditions. Prior to starting Flexport, Petersen founded and led a data-as-service company supporting global shipping for businesses called ImportGenius.com with his brother. But truthfully, Flexport competes with multiple freight forwarding companies that exist in online marketplaces that focus on winning the price war. After Cloud Paper onboarded with Flexport, they saw a 600% sales increase in two weeks, decreased container fees by 13%, and doubled their carbon offsets. Crypto. Flexport has more than 10,000 clients and suppliers in 112 countries and doubled its revenue last year, bringing in $3.2 billion while reporting its first EBIT positive year. (If Forbes valued Petersens stake using the price of Flexport shares on the secondary markets, hed already be there, worth just over $1.1 billion.). To insiders in the famously quiet logistics industry, each interview and TV appearance is more testament to Petersens opportunism than market leadership. Flexport must deal with more than 43 separate trade regulations in the United States alone. Number of Past Jobs 1. Alternative Assets. Our presentation of non -GAAP financial measures may not be comparable to similar measures used by other companies. T-bills are purchased at a discount to the par value and the T-bills yield represents the difference in price between the par value and the discount price. Aggregate funds in your Treasury Account in excess of the T-bill purchases will remain in your Treasury Account as cash. Its easier to gain insight with data that is structured for success. It hasnt stalled; but they were affected by the global pandemic in the sense that their business was affected by shortages of consumer goods and increased demand for shipping. View contacts for Flexport to access new leads and connect with decision-makers. Regulators and vendors are two big ones. But industry rivals say the 41-year-old near-billionaire and his startup are all show. Flexports revenue run rate has shown consistent growth from approximately $30 million in 2014 to $1.7 billion in 2020. Its team of logistics experts lets focus on core business by ensuring goods arrive at fulfillment/distribution centers on time and at the lowest cost. Flexport raises $935 million to boost resilience and visibility in global supply chains. You dont sink the battleship with one pin.. When the virus reached Flexports backyard, it scrounged up tens of thousands more to reroute to local hospitals. Every crisis needs a hero, and Ryan Petersen positioned himself as the face of this, concedes Craig Fuller, who runs an industry data-and-news site called FreightWaves. They have raised a total of $1.3 billion from many investors including Softbank, Founders Fund, DST Global, Cherubic Ventures, Susa Ventures and SF Expresslead. How many investments has this organization made over time? Any such offer may be withdrawn or revoked, without obligation or commitment of any kind, at any time before notice of acceptance given after the date of qualification by the SEC or as stated in the offering materials relating to an investment opportunity, as applicable. A digitized product library creates speed and consistency across your customs documentation, so you and your broker can work in harmony. JPMorgan has released a presentation for investors with more detail about its deal to buy the bulk of failed lender First Republic. Its rerouting lighter, higher-value products like Everlanes popular sweaters from sea to air. People [were] just finding us on the internet [and] signing up for the service." Finally, to raise funds, Petersen's main philosophy was giving off the impression that Flexport would succeed whether or not the investors decided to . Get the full list, Youre viewing 5 of 66 investments and acquisitions. It now has offices in 23 countries and is nearing 3,000 employees. Reporters looking for a wider trend among SoftBank companies pounced. Customers choose Flexport not because Petersen reinvented the wheel but because its one-stop software suite simplifies their lives. Flexport raised $935 million led by venture capital firms Andreessen Horowitz and MSD Partners earlier this year at a valuation of $8 billion. Flexport's valuation in February 2022 was $7,065 - $8,000M. He said, When it went from a Tweet to a tariff, as policy is implemented these days, we were able to engage with our clients within hours. They have all these ways to win, he adds. Money Raised . Founded in 2013 by Ryan Petersen, Flexport enables buyers, sellers and their logistics partners to ship, store and trade goods on its digital platform. Global Business and Financial News, Stock Quotes, and Market Data and Analysis. ODX Flexport is a highly specialized accelerator program exclusively for innovative and disruptive logistics . What? Lead Investor . In 2020 at the Alcott Global Virtual Supply Chain Summit, Flexports COO Sanne Manders, said the reason they were able to capitalize on the trade wars and COVID-19 crises in 2020 was because they are a smaller organization built on modern technology and therefore they were able to quickly pivot. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply. But it was also a warning: Disruption to trade with China could devastate Flexports core business. This story appears in the February/March 2022 issue of Forbes Magazine. Edit Jobs Section. Cryptocurrencies are not securities and are not FDIC or SIPC insured. "Recruiting has been very challenging for the last couple of years. This content is not investment advice. After extensive research and analysis, Zippia's data science team found the following key financial metrics. Petersen explained, "The earliest customers for Flexport we got via Google Adwords, SCO, and sign-ups. Title At Company . Got a confidential news tip? In addition, it has . See Jiko U.S. Treasuries Risk Disclosures for further details. This means they aim to compete with the big names of DHL, FedEx and UPS. The platform arranges goods to be transported and tracks the inventory in real-time in orders carried by the ocean, air, and road freight, enabling logistics companies to optimize transportation routes and. Founder Ryan Petersen has positioned himself as shipping's savior, earning Flexport a new $8 billion valuation. Flexport's product offers a step-change improvement over traditional forwarders by injecting technology into every step of the forwarding process, standardizing data and abstracting complexity from existing manual, paper-based systems into a modern software experience. Flexport has not yet filed for an IPO. But as one of the fastest-growing players in a space called digital freight forwarding, Petersens eight-year-old company is already the worlds seventh-biggest buyer of cargo room on such trans-Pacific routes. Book, track and deliver freight shipments from factory floor to customer door. Orkestra Supply Chain Solutions (SCS) is a logistics and technology company that removes complexity through an intelligent platform and experienced people. It is not intended to constitute investment advice or any other kind of professional advice and should not be relied upon as such. Exclusive: Amazons Consumer Chief Dave Clark Joins Supply Chain Startup Flexport As CEO. Petersen grew up surrounded by entrepreneurs in Bethesda, Maryland, just inside D.C.s Capital Beltway. Past performance is not indicative of future performance. site you are consenting to these choices. Its what the public wanted to see.. Flexport currently has four leading investors: Founders Fund of San Francisco, CA; Softbank Vision Fund of London, England; DST Global of Hong Kong Island, Hong Kong; and SF Express of Jilin, China. The above content provided and paid for by Public and is for general informational purposes only. Privately held Flexport is one of the most valuable logistics startups after raising more than $2 billion in funding. Flexport is a full-service global freight forwarder and logistics platform using modern software to fix the user experience in global trade. 136.09K Follower s. Follow. Flexport Freight Forwarding Layoffs logistics personnel moves Softbank talent Startups Daily Crunch: Silicon Valley Bank goes bust regulators take control of $175B+ in deposits Haje Jan Kamps. Start Date . Get the full list, Youre viewing 5 of 132 investors. Use Forbes logos and quotes in your marketing. Flexport. Shipping underwent one of its periodic global crises not long after, when the worlds seventh-largest shipping line declared bankruptcy and had ships seized in Chinese ports amid a pricing crash. Which industries do these Sub-Organization operate in? The founders of Flexport are Ryan Petersen and Susanne Schneberg. Walk into the offices of Flexport and Expeditors, a 40-year-old publicly traded freight forwarder with a market cap of about $19 billion, then strip away all the corporate logos and branding, and youd see that the operations look exactly the same, they claim. Kevin Kwok has had 1 past job as the Summer Venture Analyst at IA Ventures. Gruzobzor offers a cloud-based service targeted at the transportation industry to enable carriers, shippers and freight forwarders to share electronic documents and communicate in real-time, therefore increasing efficiency when transporting goods B2B. Personalize which data points you want to see and create visualizations instantly. As a general rule, the price of a T-bills moves inversely to changes in interest rates. Schneberg has a bachelors degree in economics from Humboldt University of Berlin and an MBA from University of California, Berkeley. For businesses facing inventory crunches, it built an app for truckers to tap into and learn where theyll be needed 10 days in advance. For Flexport, it all means business is booming. He utilizes the OKRs system created by Intels Andy Grove and most famously used by Amazon. Do not infer or assume that any securities, sectors or markets described in this article were or will be profitable. Browse our latest articles and investing resources. Kohlberg Kravis Roberts and Hedonova are the most recent investors. This story appears in the February/March 2022 issue of Forbes Magazine. Please see Open to the Public Investings Fee Schedule to learn more. The company was founded in 2013 by Ryan Petersen and is based in San Francisco, California. Explore 9,000+ stocks with company-specific analysis. 41on last year'sCNBC Disruptor 50list, has raised $2.2 billion to date. Here are three things you should know. Petersen also plans to build out a fulfillment product that can identify high-priority goodssay, for direct-to-consumer brandsand ship them faster through a virtual HOV lane., Flexport is the definitive next-gen winner in the space, full stop, says David George, a growth-stage investor who co-led Flexports latest round on behalf of Andreessen Horowitz. According to the WTO, over 80% of global trade utilizes freight financing so this was an important addition for the company. The hiring spree . The company was founded in 2014 and is based in Chicago, Illinois. The platform arranges goods to be transported and tracks the inventory in real-time in orders carried by the ocean, air, and road freight, enabling logistics companies to optimize transportation routes and inventory management. CBI websites generally use certain cookies to enable better interactions with. The expanded team will work on building the core product, and improve the tracking system and add more automation to the platform. While no one is exempt from risk, if Flexport continues to develop an operating system that assists its clients with solving all of the freight forwarding problems, there is a potential for gain. CB Insights Intelligence Analysts have mentioned Flexport in 14 CB Insights research briefs, most recently on Nov 10, 2022. Flexport states they have a market advantage in terms of their capacity to manage and understand the data, in allocation management, and their prediction and booking ability. The Vice President of Global Ocean at Flexport, Nerijus Poskus, was quoted in May 2021 by FreightWaves.com as saying the volume of global freight business is at 1.5 pre-pandemic levels. By that point, it was clear to Petersen that while Flexport was growing fast, the logistics market wasnt one where a hard-charging newcomer could sweep the board. Flexport is combing through customer data trying to fill each precious container more completely (most ship only 70% full). Analysts are unclear as to whether the only path towards continuing its successful growth would be an IPO for Flexport. In fact, in April 2020, CEO Petersen was quoted in a TechCrunch article as saying, Im just having fun. That year, any teams request for headcount, they got whatever they asked, Petersen says. His father was a government economist, using 1970s-era computers to crunch numbers on Soviet defense spending and running a coding business on the side. Petersen uses two major frameworks in order to maintain company culture and prioritize customer needs. Its investors include SoftBank Vision Fund (9984.T) and Shopify. Flexport owns no trains, planes or ships of its own. How? Its latest funding round was led by Andreessen Horowitz and Michael Dell's MSD Partners, and includes a strategic investment from Shopify. An indication of interest to purchase securities involves no obligation or commitment of any kind. Shipping is a huge pond. (Reporting by Krystal Hu in New York; Editing by Leslie Adler), Over 40? It was founded in 2013 and is rumored to be exploring an IPO. Access the latest trends, expert commentary, and indicators for unique insights into the global economy. Flexport, a provider of technology-forward freight services, has raised . By continuing to use this site you are consenting to these choices. A few months later, Thiel stepped up to invest againat a more generous price. Fractional shares are illiquid outside of Public and not transferable. Its software platform makes it easy for its clients to engage in trade globally. According to the website, the Flexport vision includes building the first Operating System for Global Trade, a strategic operating model that combines technology and analytics, logistics infrastructure, and hands-on supply chain expertise. Flexport Skip to content For years, Petersen had tinkered with another idea, a TurboTax for customs paperwork, but he needed to clear a rigorous background check (smuggling is one concern) to move goods across the U.S. border. Keep in mind that other fees such as regulatory fees, Premium subscription fees, commissions on trades during extended trading hours, wire transfer fees, and paper statement fees may apply to your brokerage account. It offers shipping, logistics, and carrier solutions for consumer goods, food and beverages, retail, manufacturing, life sciences, and other industries. Cumbersome, prone to error and lacking transparency for companies trying to include freight forwarding costs in their planning, Flexport sought to modernize and simplify the process. Total amount raised across all funding rounds, Total number of Crunchbase contacts associated with this organization, Total number of employee profiles an organization has on Crunchbase, Descriptive keyword for an Organization (e.g. Forbes estimates Petersens 9% stake in Flexport is worth $650 million, after our standard 10% private-company discount. With fresh. Existing investors including DST Global, Founders Fund, SoftBank's Vision Fund I and former Greylock VC Kevin Kwok also participated in the round. I wish I could look inside with a HoloLens to see which containers are Flexports, he says, imagining that Microsofts augmented-reality glasses had an X-ray feature. Get the full list, To view Flexports complete patent history, request access, Youre viewing 5 of 43 executive team members. Copyright 2023 CB Information Services, Inc. All rights reserved. Flexport raises $935 million to boost resilience and visibility in global supply chains. Sign up for free newsletters and get more CNBC delivered to your inbox. Seeing really is achieving. Track cargoeven if other partners handle it. Lots of people would rather work with project44s Switzerland rather than a brash competitor like Flexport, CEO Jett McCandless argues. The Flexport Platform is your supply chain source of truth.