Renow raises 1.8 million euros

Finnish startup Renow, which specializes in returns and the resale of used goods, has raised 1.8 million euros in a seed financing round. The company intends to use the fresh capital to further expand its AI-based recommerce platform in Northern Europe. New locations in Sweden and Norway are being planned, with market entry in Denmark and the Benelux countries to follow.

Returns as a service: New infrastructure for the returns market

Renow is pursuing the "Returns-as-a-Service" concept. Retailers receive a complete solution to efficiently process and resell returns without having to set up their own logistics processes. The platform combines software solutions, AI-supported quality checks and a network of third-party logistics service providers to check and evaluate returns decentrally and resell them via various sales channels. This is done either via Renow's own marketplace or as a white label offer from retailers.

Renow's approach combines sustainability with efficiency. In the electronics sector in particular, the company offers a scalable solution for the growing recommerce market.

Terhi Vapola, Founder and Managing Partner at Greencode

AI technology for greater efficiency in recommerce

A central element of the solution is the use of so-called agentic AI, which supports retailers throughout the entire return and resale process. From the return request to the evaluation of products and the automated creation of product descriptions, Renow reduces manual effort. The results: faster re-availability, better control over inventory and reduced costs.

Market potential and positioning

With an estimated annual market volume of 160 billion euros, consisting of around 70-80 billion euros from e-commerce returns and around 94 billion euros from the second-hand market, the startup addresses a large growth area. The platform aims to make returns available again quickly and transparently, with standardized buyer protection options such as a 12-month guarantee.

Compared to traditional recommerce providers such as Foxway, Renow relies on decentralized processing and does not have its own warehouse infrastructure. This should not only minimize the use of resources, but also enable faster remarketing. The financing round was led by Greencode Ventures, with participation from existing investors Superhero Capital and Street smart Capital.

Outlook

Renow plans to use the new capital to expand its platform offering and extend its logistics partner network. At the same time, sales and product teams in Northern Europe are to be strengthened. The company is currently recording annual growth of 600 percent and sees itself as a driver for a more efficient, more sustainable circular economy in online retail.

The news is particularly exciting because we only reported 26.6.25 about a successful round of over 7.4 million euros for Brandback had reported. They appear to be targeting the market with a very similar concept and are already focusing on internationalization. No matter how you look at it, the topic of recommerce is labor-intensive, small-scale and costly. Retailers will ultimately make a strict cost-benefit calculation and go with the solution that frees them from expenses on the one hand and avoids costs on the other, or even promises a profit.