Local Services Marketplace Thumbtack Raise $12.5 Million
Thumbtack is a local services marketplace that has raised $12.5 million. Javelin Venture Partners and Sequoia Capital led this round of funding. MHS Capital and Draper Associates also participated in this round. Sequoia partner Bryan Schreier is joining the Thumbtack board of directors. The funding is going towards hiring additional talent and to grow the company.
Thumbtack raised $1.2 million in funding from several angel investors back in 2010 and raised an additional $4.5 million as part of a larger round two years later.
Thumbtacks has a directory of professionals. The company show ratings and costs for those professionals. Services can even be set up through one-click simplicity. Thumbtack’s inventory of services includes legal services, child care, pet care, home maintenance, event professionals (DJs and artists), singing lessons, tutors, car repair, etc.
Thumbtack has around 250,000 service professionals across all 50 states and is generating around $300 million per year in new business opportunities. Founder Marco Zappacosta started Thumbtack in 2009 while he was in college. Jonathan Swanson is also a co-founder of the company.
You start using Thumbtack by answering a few questions. Thumbtack’s will comb through their database to find matches based on availability, location, and budget. Multiple quotes will be sent within 24 hours. Buyers can evaluate prices and profiles for each option and send a message to book the gig.
Zappacosta believes that consumers spend around $670 billion per year on local services. Service professionals spend around $80 billion per year on marketing. This means that Thumbtack has a lot of opportunity to grow.