Circular Raises $7.6M to Launch Tech Subscription Model in Asia-Pacific

The Singapore-based tech subscription service Circular has secured $7.6 million in seed funding. The funding round was led by venture capital firm AirTree Ventures from the investment landscape. Additional participants in the round included YC Continuity Fund, Global Founders Capital, Partech Ventures, and January Capital. 

Circular operates as a high-end electronics subscription platform catering to consumers in both Singapore and Australia. This recent financial boost has made the company’s total valuation $30 million. The funding round also welcomed angel investors who are prominent figures in the tech and startup sectors, including the founders of PropertyGuru, Funding Societies, Stashaway, Carousell, and Nutmeg. 

The $7.6 million seed funding injection has elevated Circular’s total valuation to $30 million, which is expected to help the company with its expansion plan. Circular intends to reinforce its offerings within the Singaporean market and its introduction in Australia. 

Additionally, the funds will play a key role in the launch of “Circular for Business,” a business-to-business offering tailored for startups and small to medium-sized enterprises (SMEs). With this, the company aims to cater to the distinct needs of budding businesses while stimulating Circular’s growth.

Tech subscription models have gained traction in Europe, exemplified by companies like Grover, which successfully secured $330 million in funding in 2022. While this approach is well-established in Europe, Circular is launching the tech subscription landscape in the Asia-Pacific region. 

The startup reported a threefold expansion in the last 12 months and envisions cloning the growth model in Singapore and Australia over the coming year. 

Circular, founded in 2021 with the backing of Y Combinator, provides customers with access to premium tech devices through subscription plans. These subscriptions come with free damage protection that covers up to 90% of the repair costs. 

The company prioritizes sustainability and responsible consumption, offering a sustainable and affordable solution for consumers to access the latest tech gadgets. Beyond its core offerings of phones, tablets, and laptops, the company has expanded its catalog to include popular gaming products, further diversifying its tech subscription portfolio in Singapore.

Nick Ramsay, the CEO and co-founder of Circular, said, “The problem of tech device underutilization is huge, and Circular aims to help curtail it with our subscription model. By keeping products in use for longer – and keeping precious materials out of landfills – we hope to gradually shift patterns of consumption and reduce our collective burden on the environment.” 

“What’s most exciting for us is that we see many of our customers quickly come back for second and even third devices – indicating they’ve moved their device needs entirely to subscriptions and that they’re fully embracing the Circular Economy,” he added. 

Before establishing Circular, Nick Ramsay was the Chief Product and Technology Officer at MoneySmart Group, a prominent financial product aggregator in Southeast Asia. 

During this tenure, he recognized the limitations of existing financial products, which primarily contributed to reinforcing the linear economy and traditional ownership concepts, further fueling his drive to create a more sustainable tech consumption alternative. 

Craig Blair, Founder and Partner at AirTree, said, “Circular’s founding team has an incredibly strong and complementary skill set across company building, product, engineering, marketing, and logistics that makes us excited to lead their Seed round and see where they take the future of the circular economy.”

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