ServiceTitan Secures $165 Million in Series D Funding
LOS ANGELES — ServiceTitan secured $165 million in Series D funding at a $1.65 billion dollar post-money valuation. The round was led by Index Ventures with participation from new investors Dragoneer and T. Rowe Price, and existing investors Battery Ventures, Bessemer Venture Partners, and ICONIQ Capital. Nina Achadjian from Index Ventures joins ServiceTitan’s board.
This represents the largest software raise in southern California history, as well as the largest raise for any vertical software company in the world. ServiceTitan is on track to double subscription revenue in 2018, which would mark the fifth year in a row of more than doubling revenue. The company was recently recognized in Forbes’ Cloud 100 list of fastest growing software companies in the world.
ServiceTitan’s 2,500 plus customers represent nearly 50,000 technicians on the road who perform roughly $10 billion worth of annual transactions across various home services verticals, including plumbing, air conditioning, electrical, garage door, and others. These numbers are on pace to double next year. ServiceTitan’s customers have serviced nearly 20 percent of homes across the U.S. and Canada since ServiceTitan launched in 2013.
“The ServiceTitan mission has always been personal to us,” said Ara Mahdessian, co-founder and CEO of ServiceTitan. ”Our software powers the tireless men and women of home services who ensure the world has the basic necessities of life: running water, relief from the scorching heat and biting cold, power and electricity, and more. We take it for granted today, until our toilets back up, our air conditioning goes out during the heat of summer, or our lights go out in the middle of the night. These are the heroes that come to our rescue, and we’re here to help them be more efficient and successful.”
ServiceTitan will use the additional capital to serve even more home service businesses as well as deliver even greater value to its customers through additional products.
“ServiceTitan is the operating system for home services,” said Vahe Kuzoyan, co-founder and president of ServiceTitan. “Our software helps our customers with nearly every workflow in their business, including CRM, scheduling, dispatch, mobile invoicing, payments, inventory, and more. We’re now integrating with large partners to enable the future of home services, including real-time appointment booking integrations with partners like Yelp and others, as well as supply-chain integration with partners like Lennox and others.”
Founded in 2012 by Mahdessian and Kuzoyan as a solution to help their fathers, who were both tradesmen, ServiceTitan has quickly grown into the business management software leader for the estimated $400 billion dollar home service industry. The company distinguishes itself with an uncompromising commitment to change the lives of tradespeople who have been traditionally underserved by disruptive technology and enterprise software.
“Ara and Vahe started ServiceTitan because they wanted to solve the pain point they felt first hand running their fathers’ businesses,” said Achadjian. “Since then, the company has revolutionized how plumbers, electricians, air conditioning technicians and thousands of others in other trades run their businesses. The best part is that ServiceTitan is just getting started. We could not be more excited to be a part of their journey to transform the $400 billion home services market.”
Publication date: 11/26/2018