Brief - The Hustle

ServiceTitan raises $165m to end bummers for all the plumbers

Written by Conor Grant | Jun 30, 2020 10:14:48 AM

ServiceTitan, a startup that makes software for home service providers like air-conditioner installers, just sealed the deal on a $165m Series D.

The 2 co-founders started the company to help their fathers — both air-conditioning contractors. Now, just five years later, the company is worth $1.65B.

The ski trip that started it all

ServiceTitan co-founders Ara Mahdessian and Vahe Kuzoyan met in 2012 on a ski trip sponsored by the Armenian student organizations at Stanford and the University of Southern California.

After bonding over their shared history in home-services, the partners launched ServiceTitan for the “tireless men and women of home services who ensure the world has the basic necessities of life.”

Now, ServiceTitan has 2.5k clients representing 50k technicians in plumbing, air conditioning, garage door, and electrical repair. 

Lots of money drips out of leaky faucets

All those tireless men and women also serve a big market: ServiceTitan’s network of technicians provides $10B of services each year, covering about 20% of the market across the US and Canada.

But ServiceTitan’s not satisfied with 20% — it wants to carve out a larger chunk of the $400B home services market.

To do that, the company plans to use the $326m it has raised so far to offer a more accessible product than competitors such as Amazon or Angi Homeservices (formerly Angie’s List).