Home Repair Startup HomeX Raises $90M Funding
The burgeoning home maintenance technology market has crowned another winner.
HomeX, a startup that connects homeowners with licensed contractors, raised $ 90 million after demand for its remote service tool rose 400 percent over the past year, the company said. New Mountain Capital, a New York City investment firm with assets of $ 30 billion, led the way.
Michael Werner, whose family founded Werner Ladders, and Vincent Payen, a longtime eBay manager, 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 adopted by Amazon in 2012 as the basis for Alexa.
The HomeX software connects owners with licensed service technicians. The company uses AI to diagnose problems before technicians are on site to expedite repairs and ensure contractors have the right parts and tools. It generates qualified leads for contractors and its software automates booking and simplifies operations.
The software can enable virtual or personal services. Technicians can use the Remote Assist tool to diagnose problems over the phone, video or chat.
TechCrunch says HomeX is not yet profitable, but claims that it has served “hundreds of thousands” of customers in the past 12 months. Prior to the current round, HomeX took on $ 50 million in debt.
In a statement, New Mountain’s Harris Keley said the home services industry is “massive and the need for change and innovation is significant”.
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.
Last year, home services startup Porch.com went public through a merger with a blank check company valued at $ 523 million. Porch recently announced that it cut its losses in half over the past year. Net losses were $ 51.6 million in 2020, up from $ 103.3 million in 2019.
Thumbtack, a home improvement marketplace, has raised $ 424 million since 2007. In December, the company acquired VC-Assisted Setter, a home management startup.
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