StrollMe Raises 22 Million Euros to Expand Its Children's Product Subscription Service

The Frankfurt-based startup StrollMe has secured 22 million euros in funding. The round combines equity from existing and new investors with a credit facility from the London-based financing specialist Growth Credit Partners. BMH Beteiligungs-Managementgesellschaft Hessen is a new investor. StrollMe plans to use the capital to expand its rental fleet, increase the availability of popular products, and strengthen its position in the European market for subscription-based children’s products. The company is already active in Germany, Austria, and the Netherlands.

The financing follows significant revenue growth. According to the company, revenue rose by approximately 70 percent in 2025. At the same time, StrollMe was unable to fully meet the demand for certain products because popular models were only available in limited quantities at times. Unlike many digital subscription models, StrollMe requires physical products for each additional customer, which must first be purchased and then refinanced over several rental cycles.

BMH Joins as an Investor; Growth Credit Partners Provides Debt Financing

Several existing investors are once again participating in the equity financing. These include Hanse Ventures, HGDF, and JOSS, as well as business angel Kristina Schreiner from the better ventures network. BMH Beteiligungs-Managementgesellschaft Hessen is joining as a new investor. The investment is being made through the Hessen Kapital I fund, which it manages.

Growth Credit Partners (GCP) is providing the debt financing. The London-based investor specializes in debt financing for high-growth European technology companies and primarily provides senior secured financing.

The company’s press release does not specify how the total of 22 million euros is divided between equity and debt. StrollMe’s new valuation was also not disclosed.

70 Percent Revenue Growth in 2025

StrollMe was founded in early 2020 by Timon Beutel and Sebastian Reichelt and is headquartered in Frankfurt am Main. The startup offers families the option to subscribe to children’s products on a flexible basis rather than purchasing them outright. The product range includes children’s bicycles, balance bikes, strollers, car seats, and accessories. The company offers products from well-known manufacturers such as Woom, Bugaboo, Doona, Nuna, and Thule.

Children grow quickly, while high-quality products are often needed only for a limited time. A balance bike becomes too small after a few years, a stroller is replaced by a different model, and car seat requirements also change as the child grows older and taller. Every family knows the struggle when yet another complete set has been used up and needs to make room for something new. StrollMe aims to simplify this regular product turnover through a rental model.

According to the company, it was able to increase its revenue by around 70 percent in 2025. However, specific revenue figures were not disclosed. At times, there were not enough units of particularly popular models to meet demand. The new funding will therefore be used to significantly expand the fleet.

More Products and Greater Availability in Existing Markets

For now, StrollMe is focusing on growth in its three existing markets: Germany, Austria, and the Netherlands. The funding will be used primarily to invest in additional children’s bicycles, balance bikes, strollers, car seats, and accessories. Product availability is a key competitive factor for a rental business.

With the equity from our existing and new investors and the credit facility from Growth Credit Partners, we can significantly expand our fleet and offer families even more choice through our subscription service.

Sebastian Reichelt, co-founder and CEO of StrollMe

At the same time, the funding is intended to lay the groundwork for future expansion into other European countries. The company has not yet specified any concrete new target markets or timelines.

More than 100,000 rentals since the company’s founding

A key component of the business model is the repeated use of the same products. Once a subscription expires, the returned items are professionally refurbished and then rented out again. This approach is designed to allow strollers, bicycles, and other products to be used by multiple families. According to the company, StrollMe has processed more than 100,000 rentals since its founding.

At the end of their rental life, the products are not immediately removed from the economic cycle. Instead, the sister brand Kiddly resells refurbished items. The economic logic is based on the fact that a product generates revenue multiple times during its useful life. At the same time, the costs of purchase, shipping, return, maintenance, refurbishment, and potential damage must be covered.

It is therefore important to consider how often a product can be rented and what residual economic value remains at the end of its rental period. Repeated use can also help maximize the lifespan of high-quality children’s products.

However, this model is not automatically cheaper than purchasing in every situation. How attractive a subscription is depends, among other things, on the rental period, the monthly costs, and the resale value of a comparable product.

BMH Focuses on a Scalable Circular Economy

With BMH, StrollMe gains a new institutional investor from Hesse. The investment firm, based in Wiesbaden, invests in young technology companies and established small-to-medium-sized businesses through various funds.

The circular economy needs business models that can scale. StrollMe demonstrates that “use instead of own” works for children’s products—

Lena Lang, Senior Investment Manager at BMH

Growth Credit Partners, for its part, sees the company as an established provider with a high-quality rental fleet and further growth potential. Founded in 2022, the private credit investor focuses on European technology-driven companies and typically provides financing ranging from 20 to 100 million euros.

Why Debt Financing Is Attractive for Rental Models

While traditional software companies can often serve additional customers without major investments in physical assets, StrollMe must first acquire its products. The capital invested is gradually recouped only through subsequent rental payments. If demand grows rapidly, this can result in significant financing needs, even though the operating business is already generating additional revenue.

In such cases, a credit facility can help finance the purchase of additional products. However, this requires that the expected rental income and residual values be sufficient to cover the financing costs. Therefore, fleet utilization, average useful life, the re-rental rate, and reconditioning costs are all important factors.

Whether the concept can gain a foothold in other European markets in the long term will depend largely on how cost-effectively the repeated rental of high-quality children’s products can be organized. It also faces stiff competition from online classifieds portals, which are widely used by parents.