Le Tote operates a data-driven, on-demand fashion rental subscription that ships curated boxes of three clothing items and two accessories to members for a flat monthly fee. Founded in 2012 and based in San Francisco, the Y Combinator-backed company personalizes 100% of boxes using a proprietary fit algorithm and collects extensive customer and product data to inform buying and merchandising. Memberships cost $49/month (standard) and $59/month for maternity; customers can swap shipments ahead of delivery, keep items as long as they like, or purchase items at 20–50% off retail. In 2015 the company expected to deliver more than two million items, achieve 500% year-over-year revenue growth for the second straight year, and quadruple its workforce. Le Tote partners with more than 80 brands and has added senior hires across merchandising, operations, and marketing to scale the business. The company plans to use new investment to continue building its executive team, invest in technology, and accelerate overall growth. Le Tote operates a subscription clothing and accessories rental service for women, often described as a "Netflix for clothing." The company rents curated apparel and accessories that subscribers wear and return, combining subscription e-commerce with personalized shopping and collaborative consumption. Management reported revenues grew 600% in 2014 and that it retains 94% of users month-over-month, though it declined to provide absolute user or sales figures. Le Tote expanded headcount from 13 to 100 employees in 2014 and moved into a 25,000 square foot warehouse in San Leandro, California. The business is burning operational cash while investing in expansion but is profitable on a per-transaction basis. The new capital will be used to fund additional infrastructure and inventory to support continued growth. Le Tote is a subscription-based fashion rental service that sends personalized "totes" of three garments and two accessories to customers based on a style profile. Customers receive items by mail, may keep them as long as they like, can purchase items, and return them via a prepaid box. The service costs $49 per month; clothing is priced moderately (dresses around $50, shirts about $30) and accessories range from $10–$30, with an optional insurance plan for stains or tears. Le Tote cleans and polishes returned items before resending them to other customers when quality remains, so items may not be brand new. Launched in private beta nine months prior to the report, the company had over 1,000 paying subscribers, a waitlist of more than 18,000, and was sending over 100 totes a day to customers in 48 states. The startup also lets users browse and favorite items online so stylists can tailor future totes.

Total raised

$24M

Funding rounds

3

Latest round

Series B

Latest activity

Nov 2015