Stickerbox
- Retail startups have raised over $390 million in 2025, led by Gopuff's $250 million round.
- Venture capital funding for startups has tightened since the surge in fundraising following the pandemic.
- Retail startups span instant delivery, pet health, AI devices, cannabis retail, and luxury goods.
With venture capital pouring into artificial intelligence, retail startups are struggling to compete for funding.
PitchBook has tracked $396 million worth of VC deals in retail through December 19 of this year, down from a recent peak of $7.6 billion in 2021.
In the age of AI, new companies are under more pressure to prove their value to VCs. Founders are saying that the enormous fundraising seen during the pandemic has subsided in 2025. That's especially true for e-commerce retailers, which make up a number of entries on this list, one founder told Business Insider.
Karl Bracken, founder and CEO of venture capital firm Ocampo Capital, discussed the state of the VC landscape in relation to retail on the "Omni Talk Retail" podcast in 2024.
"We're coming off of, probably, the toughest time in the past decade for companies looking to raise funds," Bracken said. "It's really tough."
In 2025, at least 11 retail startups still managed to raise $2 million or more in new funding, according to PitchBook. They include a mix of online marketplaces and brick-and-mortar stores. The list does not include some retail-adjacent AI companies, like fashion startup Phia, which raised $38 million in two funding rounds this year, according to PitchBook.
These are the startups that raised the most money in 2025, based on PitchBook data: