Flipswap, a Los Angeles-based mobile phone and iPod trade-in and recycling company, announced today that it has obtained $14 million in a Series B financing round from RRE Ventures and NGEN Partners.
Flipswap was founded in 2005 and enables consumers to trade in their mobile phone or Apple iPod and obtain cash, make a donation, or receive credit for a new device. The company also provides a variety of merchant services to brick and mortar stores, websites, and non-profit organizations. Since Flipswap’s launch in 2005, consumers have provided Flipswap with more than 700,000 devices. According to the company, in 2007 it placed enough mobile phones back into circulation to keep the equivalent of 50 tons of solid waste out of U.S. landfills.
“We saw a novel way to apply incentive principles to worldwide challenges of electronic waste. It’s an important mission,” says Sohrob Farudi, CEO of Flipswap. “We are fortunate to have found strong and forward thinking partners; it’s a huge vote of confidence for Flipswap to be recognized as an innovator with the backing of two leading firms during these tough economic times.”
“Flipswap is directly tackling issues of electronic waste and environmental sustainability through a highly scalable business model,” said Rosemary Ripley, managing director with NGEN. “With this investment we see significant opportunities to grow the Flipswap brand, platform and distribution footprint.”
“We were impressed with Flipswap’s innovative business approach to this growing global challenge, as well as their ability to execute and build momentum despite market conditions,” said Harsh Patel, venture partner with RRE Ventures. “We are delighted to support companies committed to positive environmental impact through entrepreneurship.”
For more information:
- Flipswap – Home page
- Flipswap Announces $14 Million Capital Investment (November 12, 2008)