$165m For ServiceTitan and the Future of Home Services
The founding of ServiceTitan is very much the story of the American dream.
When Vahe and I tell it, we often say that it started in college, where we first met. But the truth is that the story started long before that, when both of our families first immigrated to this country. When they did, they did so with no money. No jobs. No language skills. But they worked extremely hard to build a life for us, to put food on the table, and to put us through school.
So when we graduated from Stanford and USC, we both decided not to take high profile tech jobs in the Bay Area. Instead, we went back home and used our skills to help the family plumbing and air conditioning businesses. We owed it to them, after the years of dedication and hard work they put in to make sure we had an even better life than they had.
Six years later, the software platform we built for them has grown to become a critical tool for companies across the US and Canada. And today, we’re proud to announce another milestone for ServiceTitan, as well as a milestone for vertical software and SoCal: a $165 million Series D at a $1.65 billion post-money valuation led by Nina Achadjian at Index Ventures, who joins our board, along with new investors Dragoneer and T Rowe Price, and existing investors Iconiq, Battery and Bessemer. This is the largest raise ever for a vertical SaaS company and the largest SaaS round in Southern California history.
This new investment means we can grow our product and engineering teams, work towards making ServiceTitan an even more comprehensive operating system for home service businesses, and better improve the lives of our customers. This is an industry that has been overlooked by tech companies for a long time, so it’s vindicating to have built a meaningful business that serves a sector so full of deserving customers hungry for modern innovation. 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.
Our team continues to champion the tangible, real-life impact our product can make on our customers. Customers like Julie at Bergen Plumbing in Iowa, who wrote to thank us for the difference ServiceTitan has made to her family’s life. As her business became more efficient, she was able to spend more time with her kids and less time firefighting problems in the office.
“We’ve significantly grown our business and hired more people,” she wrote. “My husband and I are no longer slaves to the company, but actually getting to work on the business instead of in it. Even our children talk about how Mom and Dad are home more often. We will forever be grateful that you took time to bring ServiceTitan into our lives.”
Our company is defined by the support and success of our customers – from small family businesses to the world’s largest home services companies employing thousands of people – and we want to thank them for both their loyalty and the inspiration to tirelessly hone our product.
Over the last six years, we’ve learned that our customers want to use ServiceTitan to provide a seamless end-to-end customer experience. From CRM to accounting, inventory, mobile sales, even financing technology.
Because ServiceTitan touches every facet of their lives, our product managers and engineers get to solve complex problems such as how to “smart dispatch” - matching the right technicians to jobs using machine learning. They focus on leveraging big data to give our customers unprecedented business insights to both better serve their existing customers and acquire new ones.
Our teams are building an ecosystem that connects every stakeholder in home services. We’re building real-time bookings integrations with partners like Yelp and more, to allow consumers to seamlessly and digitally book an appointment with home services providers. We’re integrating the supply chain with suppliers like Lennox to allow our customers the ability to automatically order necessary parts and equipment. And we’re working on the future of IoT in home services.
At the same time, we have teams solving the scalability challenge of maintaining excellent speed and uptime in order to support ServiceTitan’s next stage of monumental growth - a phase marked by the product complexities of entering new markets and verticals. We are constantly expanding and adapting to leverage a multitude of open-source, multi-platform technologies such as React and C#.NET Core, machine learning (e.g. XGBoost, PyTorch), and artificial intelligence custom solvers relying on cloud-based GPU computing. It is only through this level of dedication to engineering and product development that ServiceTitan will continue to provide everything our customers need.
And when they they need it, we know we need to roll it out fast.
It seems like every quarter more and more home services businesses choose to run their operations on ServiceTitan, which means thinking proactively about how to expand our product and anticipate the demands as many of our customers grow right along with us.
It takes a confident, creative group of people to tackle those challenges head-on and this latest investment allows us to continue our maniacal focus on building the best team in Los Angeles, Atlanta, and the entire world. And once those people join, it is imperative they are welcomed into an environment of constant learning and innovation.
Hackathons give dedicated time to explore new ideas and solutions. Dedicated, rich investments in learning and development via on-campus classes, LinkedIn Learning, Pluralsight, and Plato mean that people enter as Titans and only grow from there.
Just like all of ServiceTitan’s previous milestones, our Series D investment is a testament not just to the software but to the incredible team of 150+ engineers and product managers and their unwavering commitment to making ServiceTitan the unparalleled product that it is. They are truly building an operating system that unlocks the full potential of home services businesses, and improving the lives of people like both Vahe’s and my parents.
Thanks to the whole ServiceTitan team of 600+ (and growing to over 1,000 in 2019!) for their dedication to our customers, product, and to each other. And if there is anyone that wants to be part of our future – whether a fellow team member, partner, or customer – we’d love to share the journey ahead together.
The ServiceTitan story is just beginning... and here’s to a brand new chapter.
ServiceTitan is a comprehensive software solution built specifically to help service companies streamline their operations, boost revenue, and substantially elevate the trajectory of their business. Our comprehensive, cloud-based platform is used by thousands of electrical, HVAC, plumbing, garage door, and chimney sweep shops across the country—and has increased their revenue by an average of 25% in just their first year with us.