Y Combinator-Backed Philippine Startup Shipmates Secures P125 Million in Seed Funding
Philippine-based shipping platform Shipmates has just raised $2.2 million (or P125 million) in a seed funding round participated by Cathexis Ventures, Wavemaker Partners, Taurus Ventures, Capital X, Sketchnote Partners, and other prominent investors.
Backed by the prestigious Y Combinator and Iterative, Shipmates automates the shipping process for online businesses to make e-commerce faster and more efficient. The platform allows online businesses to course all of their shipping needs on one platform that lets them make multiple shipping orders and compare rates of different couriers.
Shipmates plans to use its latest round of funding to scale its platform and become the preferred shipping tool of all merchants in the Philippines. It also aims to improve the country’s shipping infrastructure and grow e-commerce businesses in the Philippines.
“When talking to online sellers, their biggest pain point has always been how manual shipping still is in our country. We built Shipmates to automate this, we built Shipmates for them and we are very glad to be joined by our amazing investors in making this vision a reality,” said CEO Josh Supan.
“Instead of shippers booking couriers manually on their phones or physically dropping off packages, their orders feed straight into Shipmates, and they can pick a courier for shipping from there."
Founded by CEO Josh Supan and CTO David Marquez in July 2021, the startup launched its successful beta platform in August of the same year. Shipmates was then accepted in the Southeast Asian startup accelerator Iterative, and raised $500,000 (or P25 million) in seed funding from Y Combinator. Shipmates is the eighth startup to be accepted in the prestigious Silicon Valley accelerator, alongside fellow Filipino startups Paymongo, Kalibrr, NextPay, and MadEats.
E-commerce is quickly becoming a major player in the Philippine economy, and was the leading contributor to the internet economy in 2021 with an estimated $12 billion in gross merchandise value. This is a 132 percent increase from 2020 for the Philippine e-commerce market, and it’s expected to grow to $26 billion by 2025. Shipmates is banking on the growth of Philippine e-commerce by providing a platform that will enable online business owners to book on-demand and standard orders using multiple couriers in the Philippines.