Blackcart is a technology company.
Blackcart’s Try Before You Buy technology is the savvy merchant’s secret weapon to eliminate the guesswork associated with online shopping.
Blackcart has raised $9.0M across 1 funding round.
Blackcart has raised $9.0M in total across 1 funding round.
Blackcart has raised $9.0M in total across 1 funding round.
Blackcart's investors include BDC Venture Capital, Citi Ventures, Founders Future, Gecad Ventures, Hyde Park Venture Partners, Origin Ventures, Republic Capital, Y Combinator.
Blackcart is a Toronto-based e-commerce technology company founded in 2017 that provides "Try Before You Buy" software, allowing customers to receive products at home for free trial without upfront payment or credit card holds, paying only for kept items.[1][2][5] It serves online merchants across categories like apparel, electronics, makeup, and bedding, solving high cart abandonment and conversion issues by boosting average order values by 45%, with customers trying twice as many items and keeping 1.7 times more.[1][2] Blackcart has raised $13.82M total, reaching Series A - II stage, and uses proprietary fraud AI to assess order risk and guarantee merchants against non-payment, operating on a pure revenue share model with no upfront fees.[2][3][5]
Blackcart was founded in 2017 by Donny Ouyang (CEO) and co-founder Maraz as a part-time side project in Toronto, Canada, evolving from Ouyang's early entrepreneurial ventures starting in high school with dial-up internet, including a live interactive whiteboard for online tutoring built over four to five years.[1][3] The idea emerged to replicate in-store try-on experiences online, initially targeting apparel as a virtual fitting room equivalent, but pivoted after discovering strong product-market fit in non-apparel categories like electronics and bedding.[3] Early traction came from fun experimentation outside day jobs, leading to full commitment; Ouyang highlights quick discernment in solving complex problems as a strength, with John Li (Head of Operations and first hire) as an unsung hero.[1][3] The company exited beta with $2.8M CAD seed funding to accelerate launch.[4]
Blackcart rides the e-commerce explosion and "zero-friction" shopping trends, extending Buy Now Pay Later (BNPL) by requiring no money upfront, capitalizing on 51% of shoppers preferring flexible payment options per Jungle Scout data.[2] Timing aligns with post-pandemic at-home trial demand and rising online sales (11,250 e-commerce firms tracked), where product uncertainty drives abandonment; Blackcart's AI mitigates fraud risks that deter merchants.[1][2] It influences the ecosystem by enabling non-apparel categories to adopt try-before-buy, fostering higher conversions amid BNPL growth, and positioning Toronto as a hub for e-commerce innovation.[3][4]
Blackcart's momentum—from side project to $13.82M-funded Series A player—positions it to expand beyond apparel into high-growth categories, leveraging fraud AI advancements and e-commerce tailwinds like AI personalization and global marketplaces.[2][3] Upcoming trends like embedded finance and omnichannel retail will amplify its model, potentially scaling merchant partnerships and international reach from Toronto. As zero-upfront trials become standard, Blackcart could redefine e-commerce confidence, evolving from conversion booster to essential infrastructure, much like its origins disrupted online shopping hesitation.[1][5]
Blackcart has raised $9.0M across 1 funding round. Most recently, it raised $9.0M Series A in January 2021.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Jan 1, 2021 | $9.0M Series A | BDC Venture Capital, Citi Ventures, Founders Future, Gecad Ventures, Hyde Park Venture Partners, Origin Ventures, Republic Capital, Y Combinator |