Peer-to-peer on-demand moving startup Dolly raises $7.5M to expand across the U.S. and globe

Peer-to-peer on-demand moving startup Dolly raises $7.5M to expand across the U.S. and globe

12:12pm, 2nd May, 2019
(Dolly Photo) Things are moving at . The Seattle startup just raised $7.5 million, bringing its total funding to $20 million. The fresh cash will help the company expand its peer-to-peer moving app internationally. Like other gig economy startups, Dolly provides an app that connects people in need of services with other people willing to sell them. In Dolly’s case, individuals and businesses who need help moving stuff can find movers with the necessary trucks and equipment. , a new Seattle firm, led Dolly’s latest investment round. Unlock co-founder Andy Liu will join Dolly’s board as part of the deal. Original Dolly investors also participated, including Maveron and Amazon Worldwide Consumer CEO Jeff Wilke. “Industry data shows that people are tired of the same old unpredictable and expensive delivery services,” Liu said in a statement. “So-called last-mile delivery is in desperate need of an upgrade, and Dolly is in a great position to lead this space.” Dolly has thousands of vetted independent contractors on its platform available to accept requests from customers who need something moved. Dolly’s “Helpers” can make $30 or more per hour if they have a truck and can lift more than 75 pounds. Dolly’s prices vary on the number and type of items being moved, the number of movers needed, the distance between pickup and drop off, and the service level. After launching in 2014, Dolly is now operating in 11 U.S. cities. The company in September that it was producing more than $1 million in revenue per month with more than 100,000 customers. Dolly’s future in its hometown, Seattle, has been uncertain for the past few months because of an with state regulators. The Washington Utilities and Transportation Commission ordered Dolly to cease operations in March 2018, ruling that the company was a “household goods carrier,” operating without the proper license and requirements. But the WUTC and Dolly seem to have found a path forward. “We are currently working with the WUTC to comply with their order and how best to re-apply for a household goods moving permit,” said Kevin Shawver, Dolly’s director of marketing. Dolly is currently available in Seattle, Portland, San Francisco, Los Angeles, Orange County, San Diego, Denver, Chicago, Boston, Philadelphia and Washington D.C. The company plans to use the new funding to expand to additional cities in the U.S. and abroad. The moving services industry is estimated to be worth $12.6 billion, to the American Moving & Storage Association.
Peer-to-peer on-demand moving startup Dolly raises $7.5M to expand internationally

Peer-to-peer on-demand moving startup Dolly raises $7.5M to expand internationally

2:26am, 2nd May, 2019
(Dolly Photo) Things are moving at . The Seattle startup just raised $7.5 million, bringing its total funding to $20 million. The fresh cash will help the company expand its peer-to-peer moving app internationally. Like other gig economy startups, Dolly provides an app that connects people in need of services with other people willing to sell them. In Dolly’s case, individuals and businesses who need help moving stuff can find movers with the necessary trucks and equipment. , a new Seattle firm, led Dolly’s latest investment round. Unlock co-founder Andy Liu will join Dolly’s board as part of the deal. Original Dolly investors also participated, including Maven Ventures and Amazon Worldwide Consumer CEO Jeff Wilke. “Industry data shows that people are tired of the same old unpredictable and expensive delivery services,” Liu said in a statement. “So-called last-mile delivery is in desperate need of an upgrade, and Dolly is in a great position to lead this space.” Dolly has thousands of vetted independent contractors on its platform available to accept requests from customers who need something moved. Dolly’s “Helpers” can make $30 or more per hour if they have a truck and can lift more than 75 pounds. Dolly’s prices vary on the number and type of items being moved, the number of movers needed, the distance between pickup and drop off, and the service level. After launching in 2014, Dolly is now operating in 11 U.S. cities. The company in September that it was producing more than $1 million in revenue per month with more than 100,000 customers. Dolly’s future in its hometown, Seattle, has been uncertain for the past few months because of an with state regulators. The Washington Utilities and Transportation Commission ordered Dolly to cease operations in March 2018, ruling that the company was a “household goods carrier,” operating without the proper license and requirements. But the WUTC and Dolly seem to have found a path forward. “We are currently working with the WUTC to comply with their order and how best to re-apply for a household goods moving permit,” said Kevin Shawver, Dolly’s director of marketing. Dolly is currently available in Seattle, Portland, San Francisco, Los Angeles, Orange County, San Diego, Denver, Chicago, Boston, Philadelphia and Washington D.C. The company plans to use the new funding to expand to additional cities in the U.S. and abroad. The moving services industry is estimated to be worth $12.6 billion, to the American Moving & Storage Association.
Madrona raises new $100M ‘acceleration fund’ to expand geographic reach, target later-stage deals

Madrona raises new $100M ‘acceleration fund’ to expand geographic reach, target later-stage deals

2:05pm, 1st May, 2019
Madrona managing directors, from left to right: Tom Alberg, S. “Soma” Somasegar, Scott Jacobson, Matt McIlwain, Tim Porter, Hope Cochran, and Len Jordan. (Paul Goodrich is Madrona’s other managing director) (Madrona Photo) Call it the “ones we missed” fund. has raised $100 million for what it calls an “acceleration fund.” The Seattle firm, which has focused on early-stage deals across the Pacific Northwest throughout its 24-year history, will target later-stage companies based across the country with the new investing vehicle. Madrona began thinking about this new strategy last fall, just after it $300 million for its seventh fund. The venture capital firm had dabbled with later-stage deals, investing in more established companies based outside of Seattle such as , Tigera, and over the past few years. Matt McIlwain. (Madrona Photo) “We’ve done some of those, but very selectively,” said Madrona Managing Director Matt McIlwain. “We wanted to have a dedicated fund and a dedicated focus on that acceleration stage.” In an interview with GeekWire, McIlwain described this stage as when a company has already found product market fit and is “really starting to accelerate the growth of the business.” “This fund is focused on Madrona making new investments in companies for the first time in that acceleration stage, not only in Seattle but across the West Coast and the country,” McIlwain said. The longtime Madrona director admitted that the firm has missed out on investing in some companies early, pointing to fast-growing Seattle startups such as Outreach, Auth0, Icertis, and Textio. The new fund frees up Madrona to participate in later rounds for more mature companies both in and out of the Pacific Northwest. “It’s fair to say that there are some great Seattle companies that we didn’t get right early on,” McIlwain said. “If it makes sense to be able to add some complimentary value to the other folks on the syndicate, we’d love to be thought of as a group that can do that. “Madrona has been known for being the seed and Series A group,” he added. “This helps communicate that we could lead or partner in a B or C round with other great investors and entrepreneurs.” (Madrona Image) Madrona will be “super selective” with the acceleration fund, with plans to make six-to-nine investments over a three-year span, McIlwain said. The average check size will range from $7 to $10 million. If all goes to plan, Madrona could raise another acceleration fund when it starts planning for its eighth traditional “core fund.” Madrona’s existing investors provided the capital for the acceleration fund. The firm remains committed to making early-stage investments in Pacific Northwest startups via its traditional fund. Madrona prides itself on planting seeds in companies from “Day 1” and sticking with them throughout a journey to acquisition or an IPO — Smartsheet, Impinj, and Redfin are examples of those investments. “We love our core strategy,” McIlwain said. “Nothing is changing there.” In fact, cash from the acceleration fund could very well go toward additional Seattle companies. “We are more committed to this region than ever,” McIlwain said. He noted Madrona’s partnerships with organizations including Techstars Seattle and the University of Washington, and said the firm’s new founder center, , has been “incredibly successful.” Madrona employs 30 people at the firm and has been bulking up its lineup, adding and over the past year. The same team will be working with both funds — this could help Madrona avoid issues that plagued Kleiner Perkins Caufield & Byers, which dealt with internal rifts after establishing a “growth” fund in 2010 to compliment its early-stage fund. “Our approach is very different,” McIlwain said when asked about last month’s Kleiner Perkins story in . “A unified team, unified process and consistent fund economics across the firm along with our collaborative approach will allow us to bring the full Madrona team’s value-add to all our companies across all our funds.” A staircase connects Madrona Venture Group’s existing office to Create33, a new founder center that aims to be an epicenter for Seattle startups. (GeekWire Photo / Taylor Soper) Madrona is facing increased competition from Silicon Valley firms that are . Recent investors in later stage rounds for companies such as Outreach and Auth0 include Mayfield, Spark Capital, Trinity Ventures, and Meritech Capital. McIlwain said he welcomes the new entrants in the Seattle market. “It is great for the Seattle ecosystem to have more investors partnering with great entrepreneurs and investors like Madrona to build global-leading companies,” he said. Madrona has proven its ability to back nascent startups that become huge companies. Its track record for investing in later-stage companies for the first time, especially those outside of its backyard, is not as clear. The firm hopes to use its hometown as an advantage. “And, we believe, it is essential to have the ‘Seattle Perspective’ as part of your team to accelerate growth and maximize long-term value,” it wrote in a blog post today. McIlwain said that perspective includes proximity to homegrown companies such as Amazon and Microsoft, and the cutting-edge technologies being developed across the city in industries such as cloud computing, machine learning, and artificial intelligence. Madrona believes it can make a difference for companies not familiar with the Seattle tech scene. “It’s the access to the insights from those domains; access to the innovators both in small and big companies we’ve had the opportunity to work with; and this whole area of a cultural approach that really values taking a trust-based, long-term style to company building,” McIlwain said. In addition to Create 33, other Madrona-related initiatives include , the “startup studio” backed by Madrona. Recent investments made by the firm include deals backing Igneous, Ovation, Knock, Polly, Pro.com, and Clusterone.
Real estate startup Showdigs raises $3M to build and expand apartment showing marketplace

Real estate startup Showdigs raises $3M to build and expand apartment showing marketplace

10:21am, 11th April, 2019
Showdigs interfaces for property managers, users and brokers. (Showdigs Photo) Another new Seattle startup has raised cash to fix problems in the complicated world of real estate. raised a $3 million seed round to make life easier for property managers who are inundated with requests for showings of rental homes and apartments. The company operates an Uber-like marketplace model, connecting property managers in need of people to show houses and apartments with real estate brokers looking to make some extra cash. “They get bombarded with hundreds of inquiries every time they have a vacancy,” Showdigs CEO said in an interview with GeekWire. “The problem is they have to start following up with everyone and scheduling meetings and times for people to see the unit, and this is where they get swamped and need help.” Showdigs CEO Kobi Bensimon. (Showdigs Photo) Showdigs plugs into property managers’ systems, and when they get a request for a showing from a site like Zillow or Apartments.com, the company sends back a link to set up an appointment. Visits can be scheduled with as little as 30 minutes notice, and Showdigs then pings brokers on the platform in the neighborhood to do a showing, the same way Uber finds nearby drivers for ride requests. Brokers make $25 per showing, paid by property managers, with Showdigs taking a cut. The company is still tinkering with how it brings in revenue, testing options like taking a percentage off each showing, offering subscriptions for property managers, flat fees per vacant unit and more. Showdigs just launched its service in November, starting small in the West Seattle neighborhood. A month later, the company expanded to all of Seattle and Portland. In 2019, Showdigs plans to expand to more major markets. Showdigs is one of a number of Seattle startups tackling problems in the real estate industry. Some are dealing with the sales process (FlyHomes), while others aim to solve construction (Blokable) and title and escrow (JetClosing). FlyHomes is testing a similar service — “a role where rideshare drivers who were also real estate agents could show homes on demand,” as this notes — but for those looking to buy properties, not rent. Today, Showdigs has about 150 brokers on the platform and is working with 10 large property managers. The company just showed its 1000th unit. The nine-person company is split between Seattle and Tel Aviv, Israel. Bensimon and a lot of the business team are in Seattle, while the product team, led by Waze veteran Ohad Ron, is in Israel. The seed round was led by Bellevue, Wash.-based venture capital firm . Bensimon said the cash infusion will be used to beef up the company’s software and platform, so that when the time comes to expand, scaling up the business will go smoothly. Bensimon is a veteran of the real estate tech business. He co-founded and led a startup called ActiveBuilding that helped large apartment complexes communicate with tenants. He in 2013. The experience at ActiveBuilding gave Bensimon a window into the issues property managers deal with and inspired the idea that became Showdigs. Brokers rarely show apartments anymore thanks to technological innovations from sites like Zillow. But they possess unmatched local knowledge, the training to show units and flexible schedules to take some load off overbooked property managers. Brokers are primarily reliant on sales commissions, so Showdigs gives them an opportunity to earn extra money in between sales or keep cash coming in during a dry spell. “It’s a way for them to complement their income,” Bensimon said of the platform for brokers. “They get a commission every time they make a sale, and sometimes they could go for months without having an income.”