Backflip, an all-in-one real estate and financial technology platform for real estate entrepreneurs, announced its $15 million Series A led by FirstMark Capital and early investors in category-defining platforms Airbnb, Shopify, and Pinterest. The previous investors Vertical Venture Partners, LiveOak Venture Partners, Revel Partners, ECMC, the real estate company Crow Holdings, and notable angels Greg Waldorf, Rob Barber, Gregg Freishtat, CEOs and former Board Members at Zillow, Attom Data, and GreenSky, respectively, also participated in the round.
This funding round comes after the company crossed $10 million in net revenue run rate – while reaching near profitability in the process. Backflip grew its revenue run rate 5 times year-over-year last year despite housing market headwinds, with members analyzing an average of $5 billion in properties each month on the platform.
Backflip is driving the future of real estate entrepreneurship with an end-to-end platform serving a like-minded community. And the company’s purpose-built technology and capital solutions enable members to efficiently manage their investment pipelines, secure funding, and grow their real estate investment business.
Backflip helps individual entrepreneurs to revitalize the housing market through the acquisition and renovation of single-family homes, having funded 900+ homes to date. And members have realized an average gross profit of $82,000 per property on the platform, and typically repay their loans in six months. Backflip’s approach and underwriting processes are designed to achieve investment-grade credit ratings and have led to a track record of exceptional loan performance.
Backflip’s platform provides a seamless experience through its mobile and desktop apps, granting members access to the real-time data needed to make informed decisions while on the move or from their desk. The Backflip app – which has been referred to as an “analyst in your pocket” – helps members source, track, comp, and evaluate potential investments in addition to securing project financing through Backflip.
KEY QUOTES:
“Backflip is not just about flipping houses; it’s about flipping the script on the why, how and what it means to be a real estate entrepreneur. Over 400,000 homes are flipped every year in the U.S. and growing. Our mission is to help everyone access the funding and tools they need to participate. We put information, support, and capital products designed for entrepreneurs in the hands of more individuals in an industry that has historically had too many barriers to successfully starting and scaling. In doing so, we’re empowering our members to rejuvenate communities one modernized home at a time.”
- Backflip CEO Josh Ernst
“We are thrilled to lead Backflip’s Series A to continue the work of building the financial operating system for this integral but overlooked part of the real estate value chain. The Backflip team has combined deep product empathy, technology and capital formation to build a 10x better product for their members.”
- Adam Nelson, Managing Director at FirstMark
