Greycroft Invests $3.5M in Breef - Ad Agency Marketplace

Breef Secures $3.5 Million to Expand its Agency Marketplace

Breef has successfully raised $3.5 million in a funding round designed to fuel the continued development of its platform. The company positions itself as “the world’s first online marketplace” specifically connecting brands with agencies for project-based work.

Investment Details

Greycroft spearheaded the investment, with significant participation from Rackhouse Ventures, The House Fund, John and Helen McBain, Lance Armstrong, and 640 Oxford Ventures. This new funding brings Breef’s total funding to $4.5 million since its founding in 2019.

Founders and Background

The company was established by George Raptis and Emily Bibb, a husband-and-wife team. Bibb brings expertise in digital marketing and brand strategy, gained through roles at companies such as PopSugar, VSCO, and S’well.

Raptis previously held a founding position at the fintech firm Credible.com, contributing his experience in building technology-driven businesses.

Addressing a Market Need

Both founders identified a common pain point: the difficulty in locating suitable agencies. Traditional methods often relied on referrals and extensive outreach.

They also observed situations where companies required specialized talent for specific projects, without the need for a permanent hire.

Differentiating from Traditional Outsourcing

While outsourcing itself isn’t a novel concept, Breef distinguishes itself by focusing on managing more substantial, complex projects. Typical freelance assignments are often under $1,000 and completed within a week.

In contrast, Breef facilitates team-based projects averaging $25,000, with engagements lasting approximately six months, as noted by Raptis.

Platform Functionality and Benefits

Breef’s platform aims to simplify the connection between brands and boutique agencies throughout the project lifecycle – from initial planning and scoping to pitching and payment.

“We are essentially bringing the agency experience online,” Bibb explained. “Our goal is to streamline the outsourcing of high-value work, enabling users to locate, compensate, and collaborate with agencies in a matter of days, rather than months.”

Streamlined Project Initiation

Brands can create detailed briefs outlining their project requirements, and Breef then provides a curated list of agencies that align with those needs.

This process significantly reduces the search time, compressing a typical one- to two-month endeavor into just five days.

Growth and Funding Drivers

Bibb and Raptis pursued venture capital following substantial platform demand – with millions of dollars in projects initiated monthly – and the increasing trend towards remote work.

They noted a shift among brands, with some transitioning from in-house teams or agencies of record to utilizing distributed or smaller, specialized teams.

Security and Financial Services

Given the substantial financial transactions processed through the platform, Breef prioritizes security and trustworthiness. The funding will support ongoing technology development and talent acquisition.

The company has also launched Breef(pay), a buy now, pay later service designed to simplify agency payments and alleviate cash flow concerns.

This service allows users to customize payment terms, combine payment methods, and leverage credit lines or deferred payments for better spend management.

Platform Reach and Cost Savings

Currently, Breef boasts a network of over 5,000 vetted boutique agencies across 20 countries.

Users reportedly achieve an average of 32% cost savings on projects compared to traditional agency models.

Breef’s client roster includes prominent brands such as Spotify, Brex, Shutterstock, Bluestone Lane, and Kinrgy.

Investor Perspective

Kevin Novak, founder of Rackhouse Ventures, initially connected with Raptis through the Australian tech ecosystem.

Novak, whose fund focuses on innovative data applications, expressed his enthusiasm for Breef’s approach. He highlighted the platform’s ability to address a well-understood challenge – agency matching – in a novel and effective way.

“Emily and George have discovered a unique solution for finding advertising agencies that didn’t previously exist,” Novak stated.