Dropbox purchases e-commerce startup Sold
Every startup wants to be successful and there are several ways to measure that. One of them is to create a service that offers immense benefits to a particular industry, putting the business into a position to be acquired and taken to a new level. In the technology world, this can happen quickly.
According to a blog post on the company's website, after just seven months of operations, Sale has been acquired by Dropbox. Sale is a mobile application that simplifies e-commerce by taking the hassle of eBay and Craigslist out of the hands of users. It is believed that Dropbox – a popular cloud sharing service – will use Sale to create a new online shopping project.
"We decided that the move to Dropbox couldn't be better – their road map includes exciting new experiences which align perfectly with our ethos of creating products that positively affect people," the post reads. "Going forward, the Sold team will continue working together to build these experiences, shaping the future of Dropbox for their 200M strong user base. It's an opportunity too good to pass up."
An article from TechCrunch dives a little deeper into Sold and found it interesting that the organization would sell so early in its life. The business was backed by $1.2 million from investors like Google Ventures, Greylock Partners, Matrix Partners and the team at Boston Seed, seven months seems like an abrupt time for this sale.
After four months of operations, the company had projected $1 million in annual revenue. On top of that, executives from Sale told TechCrunch in September that the business was growing at 50 percent month-over-month.
This is the perfect example of a technology merger that benefits both organizations. Dropbox gets an amazing product and Sale gains a large customer base to expand into.