Home Repair Startup HomeX Raises $90M Funding

HomeX founders Michael Werner and Vincent Payen (HomeX)

The burgeoning market for home-maintenance technology has crowned another winner.

HomeX, a startup that connects homeowners with licensed contractors, raised $90 million after demand for its remote service tool surged 400 percent last year, the firm announced. New Mountain Capital, a New York investment firm with $30 billion in assets, led the round.

Michael Werner, whose family started Werner Ladders, and Vincent Payen, a longtime eBay executive co-founded the startup in Chicago in 2017. CTO Simon Weaver previously worked at Evi, an AI startup that focused on natural-language communication. It was acquired in 2012 by Amazon as the foundation for Alexa.

HomeX’s software connects owners with licensed service technicians. The company uses AI to diagnose problems before techs go out in the field to speed up repairs and ensure contractors have the right parts and tools. For contractors, it generates qualified leads and its software automates booking and simplifies operations.

The software can facilitate virtual or in-person services. Its tool — “Remote Assist” — allows techs to diagnose problems via phone, video or chat.

HomeX is not yet profitable, but claims it served “hundreds of thousands” of clients in the last 12 months, according to TechCrunch. Prior to the current round, HomeX raised $50 million in debt funding.

In a statement, New Mountain’s Harris Keley said the home services industry is “massive and the need for change and innovation is substantial.”

Last month, ServiceTitan, a startup that sells software for heating and cooling technicians, raised $500 million. The round, led by Sequoia’s Global Equities fund and Tiger Global Management, valued the company at $8.3 billion.

And last year, home-services startup Porch.com went public through a $523 million merger with a blank-check company. Porch recently disclosed that it cut its losses in half last year. Net losses were $51.6 million in 2020, down from $103.3 million in 2019.

Thumbtack, a home-improvement marketplace, has raised $424 million since 2007. In December, it acquired VC-backed Setter, a home management startup.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *