Goldman Sachs invests in construction finance platform Rabbet in $8 million Series A
Austin-based SaaS platform brings efficiency and faster decisions to the $1.3 trillion U.S. construction industry
(AUSTIN, Texas) Feb. 20, 2019 – Rabbet, a leading intelligent construction finance platform, announced today it has closed an $8 million Series A round backed by Goldman Sachs’ Principal Strategic Investments group, QED Investors and Camber Creek.
Rabbet brings efficiency, accuracy and visibility to the complex construction finance industry. The platform uses machine learning to parse documents and connect information for reduced administrative burden, instant compliance and faster decision-making for real estate lenders and developers.
“With the support of Goldman Sachs, QED and Camber Creek, Rabbet will further its mission to bring frictionless transactions to the construction industry,” said Will Mitchell, RabbetCEO and co-founder. “Our name represents our commitment to strengthening connections in the real estate industry and fueling today’s connected construction economy. Through intelligent automation, our platform provides operational efficiency, improved customer experience and faster payments, representing a $21 billion opportunity for lenders and borrowers.”
With the new funding, Rabbet, formerly known as Contract Simply, will continue to invest in the development of its automation platform, expand service offerings and cultivate partnerships with leading construction lenders, developers and other industry stakeholders. It will also support the company’s efforts to expand its software engineering and sales teams in Austin.
"We firmly believe construction finance is going to be automated and brought out of its decades-old, paper-ridden process. Rabbet is the only solution we've seen that can handle the complexity of this transition. We are committed to being on the forefront of technology, and working with Rabbet ensures we stay on the leading edge,” said David Bell, Managing Director of Goldman Sachs’ Construction group.
Founded in 2017, and accelerated with Y Combinator, the company has seen rapid growth since its seed round in October 2017 led by Tectonic Capital. To date, Rabbet has improved efficiency for projects sized up to $150 million coast-to-coast.
For more information about Rabbet, visit http://www.rabbet.com.
Rabbet is bringing efficiency, accuracy and transparency to the complex connected construction economy. The intelligent construction finance platform uses machine learning to parse documents and connect information for reduced administrative burden, verifiable compliance and faster decision-making for real estate lenders and developers. Based in Austin, Texas, Rabbet is venture-backed by QED Investors, Camber Creek and Goldman Sachs. For more information, please visit http://www.rabbet.com.
About Goldman Sachs Principal Strategic Investments
The Goldman Sachs Principal Strategic Investments (PSI) group seeks to make long-term strategic investments in fast growing technology companies. The global team of investment professionals is deeply connected across Goldman Sachs' Securities Division as well as Technology and Operations groups. The PSI group's investments focus on market infrastructure, financial technology and enterprise technology companies, and often engage in a strategic relationship that may include joint product development, IP licensing arrangements, service provision arrangements and market participation agreements. For more information visit: http://www.goldmansachs.com/what-we-do/investing-and-lending/principal-strategic-investments/psi.html
About QED Investors
QED Investors is a leading boutique venture capital firm based in Alexandria, VA. QED is focused on investing in early stage, disruptive financial services companies in the U.S., U.K. and Latin America. QED is dedicated to building great businesses and uses a unique, hands-on approach that leverages their partners’ decades of entrepreneurial and operational experience, helping their companies achieve breakthrough growth. Notable investments include Credit Karma, ClearScore, SoFi, Avant, Nubank, Remitly, GreenSky and LendUp.
About Camber Creek
Camber Creek is a venture capital firm investing in technology that is changing the landscape of the real estate industry. Camber Creek’s partners include real estate owners, operators and decision-makers. The firm’s mission is to connect these leaders with the companies that are introducing innovative technologies to the real estate sector. Camber Creek and its partners contribute directly to the success of Camber Creek’s portfolio companies, and partners utilize the portfolio’s technology solutions in their core businesses. Camber Creek, its partners, and its portfolio companies are working together to bring the real estate industry into a technology-driven future. More information can be found at http://www.cambercreek.com/.