Home / Articles / Flush with fresh funds, UK ‘eco laundry’ startup Oxwash spins up growth plans

Flush with fresh funds, UK ‘eco laundry’ startup Oxwash spins up growth plans

Flush with fresh funds, UK ‘eco laundry’ startup Oxwash spins up growth plans Image
  • Posted on 30th Aug, 2022 10:33 AM
  • 1274 Views

Oxwash, a UK startup that’s spent the last few years applying high tech processes to shrink the environment cost of dry cleaning and commercial laundry, has trousered £10 million (~$12M) in Series A funding to expand its nationwide footprint. Currently its service is available in five UK citi…

Oxwash, a UK startup that’s spent the last few years applying high tech processes to shrink the environment cost of dry cleaning and commercial laundry, has trousered £10 million (~$12M) in Series A funding to expand its nationwide footprint.

Currently its service is available in five UK cities: London, Oxford, Cambridge, Bristol and Manchester but — flush with fresh funding — it’s aiming for broader domestic coverage and eyeing a US launch after that.

Oxwash bagged a £1.4M seed back in 2020 — and has now pulled in a total of £15.7M since being founded back in 2017, including from a public equity crowdfunder last year (which netted it £500k from around 320 Crowdcube investors); and via a £2.08M seed top-up.

The Series A was led by Untitled VC, with existing backer Biz Stone (Twitter co-founder) also participating, along with Indeed founder Paul Forster, and Holly and Sam Branson. Other named returning investors include Reckitt venture arm Access VC, Pentland Group, Ascension Ventures, Vala Capital, and Truesight Ventures. While new investors in the round include 8 Dimension Ventures, System Capital Management and Khimji Ramdas LLC.

Oxwash’s alternative spin on commercial laundry includes a “gentle” ‘wet cleaning’ technique to replace dry cleaning which involving the use of biodegradable detergents (rather than “harsh” solvents) — and it also touts reduced water consumption (claiming savings of 4L per 1kg of clothes washed).

Additionally, it uses ozone as a disinfecting agent, to sterilize and deoderize fabrics at lower temperatures than traditional commercial laundry processes.

To ensure economies of scale, the on-demand laundry startup operates its services out of a handful of hubs (currently three) — aka its service center “lagoons” — using a fleet of cargo e-bike and electric vehicles for pick ups and drop offs to minimize its carbon emissions.

In a major development, it’s announcing that it’s gained B Corporation status — and claims to be the only laundry and wet-cleaning company in the world that’s gained this certification for standards of environmental, social responsibility and transparency, bolstering its eco credentials.

Oxwash customers span both businesses and individuals seeking on-demand laundry service (think the likes of individual Airbnb hosts up to NHS trusts). On the b2b side, it says customers include hotels, hospitals, universities, hospitality and circular fashion outlets.

Flush with fresh funds, UK ‘eco laundry’ startup Oxwash spins up growth plans View Story