London-based Fresha, the marketplace platform for beauty and wellness, has secured a 31 million US dollar venture debt facility from J.P. Morgan to accelerate its expansion into new markets and invest in machine learning and AI-powered robotics.
Fresha offers subscription-free business software with embedded payment processing and a consumer marketplace to empower beauty businesses, such as salons, barbershops, spas, and aesthetics clinics, to streamline their operations and connect with more customers.
To date, Fresha has raised more than 185 million US dollars in venture capital funding, including a 150 million US dollar Series C round in 2021 led by General Atlantic. As the UK-based marketplace approaches profitability, the investment from J.P. Morgan will help further fuel its ambitions to revolutionise the beauty and wellness space.
William Zeqiri, founder and chief executive of Fresha, said in a statement: “We are thrilled to be working with J.P. Morgan. The beauty and wellness industry is a dynamic world, buzzing with creativity, innovation, and an endless quest for service enhancement. Today, there is so much potential to be unlocked.
“Beauty service providers need a 360-degree view of each client, including booking behaviour, preferences, payment methods, and lifetime value. Extracting insights from every transaction has become a key competitive advantage, allowing our users to offer highly tailored and personalized services.”
Fresha targeting expansion and AI-powered robotics with new investment from J.P. Morgan
Fresha has a network of more than 110,000 merchants, with a strong presence in the UK, US, Canada, Australia, New Zealand, and Europe, with its reach extending across 120 countries, where customers discover, book, and pay for beauty and wellness appointments with local businesses.
Since launch, Fresha has facilitated transactions worth over 35 billion US dollars in gross merchandise volume, and in 2023, the company grew revenues by 67 percent year-over-year, with a similar level of performance expected in 2024.
In addition to offering appointment bookings and payment options, the Fresha ecosystem simplifies everything merchants need to run their businesses effectively, including customer records management, marketing automation, loyalty programmes, beauty product inventory, and team management.
The consumer marketplace leverages online bookings and automated marketing through mobile apps and advanced integrations with major tech platforms, including Instagram, Facebook, and Google.
Zeqiri added: “The next exciting frontier for Fresha is expanding our research and development in machine learning and integrating AI into daily business operations. By embracing cutting-edge technology, we are not just enhancing our services; we are creating opportunities and redefining what’s possible.
“Our vision is a world where innovation and creativity flourish together, driving progress and enabling everyone to reach their full potential. In the not-so-distant future, we envision AI-powered robots working alongside humans in the beauty and wellness space. Robots can handle repetitive tasks, such as managing bookings, mixing colours, welcoming customers, or managing inventory, freeing up valuable time for stylists to focus on personalizing their services and honing their craft.”
Commenting on its investment, Alexandra Wyatt, UK innovation economy banking at J.P. Morgan, said: “We’re delighted to support Fresha on their continued growth journey. Fresha is steering the rapidly expanding beauty and wellness space with its innovative technology and strong unit economics.
“Their unique business model is transforming the industry landscape, and it’s precisely the type of innovation we want to help drive globally.”
