Link to original article: Stellar Raises $20M in Series B Funding, Propelling its Position as a Leading Proptech
Financing will be used to enhance technology, invest in new talent, and expand into additional U.S. markets
DALLAS–(BUSINESS WIRE)–Stellar, a venture-backed technology-driven marketplace which solves maintenance at scale for the Single-Family Rental (SFR) market, announced today $20M in Series B growth equity financing. The funding round was led by new investor Weatherford Capital and was also supported by existing investors Brick & Mortar Ventures, S3 Ventures, Alerion Ventures, and Navigate Ventures. This round brings the company’s total venture capital to $35M and will be used to enhance the company’s technology and platform, invest in new talent, and expand into additional U.S. markets.
“We are thrilled with the support from both our new and existing investors who see the impact Stellar’s customers are realizing through hassle-free maintenance,” said Dustin Marx, Founder and Chief Executive Officer of Stellar. “This funding will allow us to meet the rising demand for our maintenance marketplace, evolve into more agile technology including a new mobile app, and expand our talent and market reach. We are uniquely positioned in this extraordinary macro-economy to create a revolutionary marketplace that thrives and provides new opportunities for SFR stakeholders, enabling them to experience home maintenance that is fast, frictionless, and done right.”
Stellar’s mission is to increase asset value, reputation, and retention to build thriving businesses and communities. The company marries tech with an intimate knowledge of property maintenance to solve the challenges that residents, property managers, and contractors collectively face, and now serves 10 of the 11 largest SFR operators across 150,000+ properties.
The equity financing round positions Stellar to enhance its platform which leverages artificial intelligence and machine learning to enable property managers and contractors to successfully resolve home maintenance issues, giving residents peace of mind. Unlike local contractors, Stellar uses technology to make the maintenance experience seamless, simple, and scalable. Work is completed with integrity and heart and quality is guaranteed. The company will invest in new talent and plans to scale the staff by nearly 100% by the end of 2023 in the areas of Operations, Sales, Marketing, and Technology. U.S. market expansion is also on the horizon.
In conjunction with the financing, David Seider, Principal at Weatherford Capital, has been appointed to Stellar’s Board of Directors, effective upon closing of the investment. With the addition of Seider comes a deep history of technology solutions impacting highly complex and regulated industries given his Board Director and Advisor roles with Branch, High Definition Vehicle Insurance, and The Zebra.
“As a firm focused on backing high-quality leaders who manage rapidly growing B2B technology companies, we have a keen eye for identifying startups solving real problems in the market,” said Seider. “Stellar’s impressive growth, combined with a rising number of U.S. households choosing to rent instead of owning a house, underscores the company’s position as a market leader. We are proud to align with them on this next phase of growth to continue to solve challenges across the property lifecycle.”
The announcement comes on the heels of Stellar punching up its tech through the appointment of Renaud Casanova, former Facebook leader, as the new Chief Technology Officer. The Series B raise amid a challenging VC growth investment market is a testament to Stellar’s maturity, growth, and trajectory.