Clean Tech startup "Ecube Labs" has attracted US$23M worth of Series B investment from DS Asset Management, Open Water Investment, BSK Investment, and YG Investment. The cumulative investment is US$24M.
E-Cube Lab proved the marketability of the business model by securing more than 1,000 customers at its business sites in Texas and Maryland alone within a year after launching the U.S. B2B waste collection matching platform Haula in the second half of last year.
Haulla is a garbage collection service for customers at workplaces such as restaurants, gas stations, and hotels. However, rather than a fixed collection service such as a traditional "collection once a week," a smart collection service is provided to customers at a lower cost by reducing the collection frequency by about 30 percent using a smart sensor.
In addition, customers will always be serviced at the lowest bidding price by receiving quotes from several local partner collection companies at the same time and assigning collection opportunities to the lowest bidding price.
As customers at workplaces who paid an average of $300 a month receive collection services of around $220-250, the cost of Korean money is reduced by more than $1 million a year, and the number of customers is increasing intensively in cities such as Houston and Dallas, Texas.
Small businesses, which had difficulty securing a competitive advantage from large collection companies that generate trillions of won in sales, are also growing into a B2B platform loved by small local collection companies as they can take new business opportunities through Haulla.
Contrary to expectations that it will be difficult to expand operations due to the COVID-19 crisis, the proportion of self-employed people who have become sensitive to waste collection costs is growing above expectations, and if it grows to the current trend, sales of 100 billion won are expected three years after the service launch. The garbage collection service is basically carried out under a three-year contract and has a stable profit structure with little customer departure, similar to the business model of carriers.
E-Cube Lab was founded in 2011 and has grown through orders for various overseas city projects rather than in Korea, developing solar compression trash cans and installing and operating them in 60 countries and more than 300 cities so far.
In particular, in order to actively pioneer the U.S. market, a subsidiary was established in 2017 to operate directly in the U.S. procurement market, resulting in accumulated orders of about 20 billion won, including LA and Baltimore. However, although growth was stagnant due to the COVID-19 crisis, based on his long experience in pioneering overseas markets, he challenged to enter the U.S. waste collection market looking for new opportunities.