Home Improvement Startup Porch Raises $65 Million at $500 Million Valuation
The 16-month-old company plans to allocate funds towards enhancing its new mobile app.
Opinions expressed by Entrepreneur contributors are their own.
Just four months after raising nearly $28 million in its Series A round, home improvement startup Porch has announced a seismic $65 million Series B -- bringing total funds raised by the 16-month-old company to more than $100 million.
A source close to the deal pegged Porch's current valuation at roughly $500 million.
Valor Equity Partners led the latest round, and the firm's CEO, Antonio Gracias, will join Porch's board of directors. Other investors included Extreme Makeover: Home Edition host Ty Pennington, as well as Lowe's, which also participated in the company's Series A.
Related: With $28 Million in New Funding, Porch Is the 1-Year-Old Startup Looking to Remodel the Home Improvement Market
Porch, which links homeowners with reputable service professionals through its website and dedicated app, says revenue and membership have climbed more than 1,000 percent over the past year. The company makes money by charging contractors to promote their services across the platform.
New funds will be allocated towards Porch's mobile app, which launched last month. Specifically, the company is planning a national rollout of the Porch Booking feature, which allows users to schedule and pay for small maintenance jobs at pre-negotiated prices directly from their mobile devices -- and which is currently only available as a beta program in Seattle.
All told, Porch counts a network of 3.2 million service professionals across the country that have completed over $2.5 trillion worth of home improvement work.
Related: Food-Tech Startup Soylent Snags $20 Million in Funding