Buildertrend, a provider of cloud-based software for homebuilders, remodelers and specialty contractors, announced that it has received an investment from Bain Capital Tech Opportunities and HGGC to accelerate its growth and expand the services it provides to customers.
This first institutional investment will accelerate Buildertrend's growth trajectory through strategic acquisitions and drive expansion into adjacent offerings such as payments, data analytics and contractor services. Financial terms of the private transaction were not disclosed.
Founded in 2006 by Steve Dugger, Jeff Dugger and Dan Houghton, and based in Omaha, Buildertrend is a cloud-based construction management platform for residential homebuilding, providing construction management tools to more than 16,000 homebuilding, remodeling and specialty construction businesses, their sub-contractors and their clients. Construction teams rely on Buildertrend to run their businesses by standardizing scheduling and workflows, handling payments, purchase and change orders and improving customer communication and visibility.
"We founded Buildertrend with a vision to disrupt the construction industry and make the complicated homebuilding and specialty construction process more transparent and efficient," says Dan Houghton, co-founder and co-CEO of Buildertrend. "Bringing high-quality cloud-based applications to the industry has positioned our platform to be a clear differentiator. It was a substantial decision to bring on a partner for the first time, and we are excited to partner with Bain Capital and HGGC and to leverage their global networks and expertise scaling vertical software businesses. This partnership will enable us to deliver even more value to our customers across the world."
Buildertrend has achieved 45% average year-over-year revenue growth since 2015. Today, the company serves more than 1 million users across over 100 countries.
"Buildertrend is a mission-critical, all-in-one software platform that is transforming construction with smarter communication and processes," says Phil Meicler, a managing director at Bain Capital Tech Opportunities.
"This partnership will drive continued investment in product development, additional services to the contractor base and strategic acquisitions that will offer significant benefits to customers and the construction industry overall," says Scott Kirk, a Partner at Bain Capital Tech Opportunities.
This is the second investment by Bain Capital Tech Opportunities this year in a founder-led vertical SaaS business built in Nebraska (Hudl, May 2020). Bain Capital also has deep, firm-wide experience across both vertical software and construction, having invested in and scaled a wide range of technology companies including HST, Viewpoint, Vertafore and Waystar.
"This partnership underscores a strong belief in Buildertrend's mission and growth potential built on a solid foundation by Steve, Jeff and Dan," says Dan Stanko, a partner at HGGC. "Fueled by the resources and guidance of Bain Capital and HGGC, we are highly confident that Buildertrend can further accelerate growth. We look forward to our partnership with the co-founders, Bain Capital and the entire Buildertrend team."
Spurrier Capital Partners served as the financial advisor to Buildertrend. Cooley LLP served as legal advisor to Buildertrend. PricewaterhouseCoopers and Kirkland & Ellis LLP served as financial and legal advisors, respectively, to both Bain Capital and HGGC.