Proptech Firm VendorPM Completes a $20M Series A
Company will use money for expansion and new product developments.
VendorPM, a proptech firm, announced the completion of a $20 million Series-A fundraising round. The company makes software for property managers for vendor management, sourcing, procurement, and compliance.
The money is expected to go to further building out the company, expansion into additional markets like Chicago and Washington, D.C., and the development of new products.
Leading the round was Prudence, with “significant contribution from Bessemer Venture Partners, Navitas Capital and Alate Partners.” In addition, “strategic investors in the round include Colliers and RXR alongside notable angels; Dick Costolo (Former CEO of Twitter), Mark Rose (Chair & CEO of Avison Young) and others.”
The round follows a previous $6 million seed round led by Bessemer Venture Partners.
“The VendorPM SaaS platform and marketplace supports over 5,000 buildings and close to 40,000 service vendors across major Canadian cities and a growing number of U.S. cities,” the company claims. “Building managers use VendorPM for its modern, standardized approach to vendor management, sourcing, procurement and compliance.”
“Currently hosting 120+ leading commercial real estate organizations and property management groups including Colliers, Golub & Co, Avison Young, BentallGreenOak and more, VendorPM plans to aggressively expand their U.S. footprint, already having undergone a strong market entry into Chicago, Illinois,” it added.
VendorPM describes its system as a two-sided marketplace that “allows property managers to connect with vendors to fulfill projects and contracts of all sizes and scopes while enabling vendors to effortlessly market their services.”
The platform is supposed to allow property managers to identify pre-screened vendors and then manage projects across their entire portfolios.
“Property managers in North America alone spend over $400 billion to service their buildings each year and almost all of this spend is procured, managed and paid manually,” the release quoted Gavin Myers, managing partner of Prudence. “VendorPM is building the automation layer for this massive segment and we’re thrilled to partner with Emiel and the rest of the VendorPM team as they address this global opportunity.”
Process automation has become a large area of development in many industries for a few reasons. One is that automation should reduce the need for human labor. Another is to create regularity in how work is done.