---
title: OpenStore is rolling up the rebels
description: Keith Rabois is back with OpenStore, a Shopify roll-up that just raised $30m at a $250m valuation.
---

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# [OpenStore is rolling up the rebels](https://hs-sbup.thehustle.co/news/07202021-openstore)

 Written by [Rob Litterst](https://hs-sbup.thehustle.co/news/author/rob-litterst) | Jul 20, 2021 8:01:31 AM

Shopify has long said they’re “arming the rebels” against Amazon. Now, the Miami-based startup [OpenStore](https://www.axios.com/keith-rabois-startup-ecommerce-e164cd05-7c36-4dbc-9d95-7bc311179007.html) wants to roll these stores up.

Co-founded by Keith Rabois (a VC and Miami’s favorite hypeman this side of DJ Khaled), OpenStore [raised](https://www.axios.com/openstore-millions-funding-461b0480-548e-41aa-879d-17c326621edb.html) a $30m Series A valuing the firm at ~$250m.

Similar to [Amazon](https://thehustle.co/07152021-amazon-stores/) roll-ups, consolidation allows OpenStore to automate customer support and shipping, and unlock volume discounts.

#### **OpenStore uses an algorithm to avoid bidding wars**

The startup has a [3-step](https://www.bloomberg.com/news/articles/2021-06-18/this-algorithm-wants-to-buy-your-favorite-shopify-storefront?srnd=premium-africa&sref=3Ac2yX40) process to generate offers for merchants:

- **Step 1:** Merchants apply online, sharing their Shopify login credentials
- **Step 2:** OpenStore’s algorithm reviews sales, inventory, and other data
- **Step 3: **The technology comes up with an offer by the next business day

OpenStore reminds many analysts of another company Rabois co-founded: [Opendoor](https://thehustle.co/09242020-opendoor-home-buying/), which uses algorithms to purchase homes (and shares a *very* similar naming convention).

#### **Imitation is the sincerest form of flattery**

OpenStore plans to launch a consumer-facing product to centralize the shopping experience across its merchants, which sounds a lot like… Amazon.

According to Rabois, all products are welcome, from furniture to ice cubes for soup.

Time will tell if OpenStore will succeed in its own right, but at the very least, it should give the serial VC a chance to cash out quickly and move on to his next hypeman project.

[View full post](https://hs-sbup.thehustle.co/news/07202021-openstore)

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