Spark RE Technologies raises $6.2M from Pender Ventures, BDC Capital
The company plans to use the funds for US and international expansion.
Vancouver’s Spark RE Technologies has closed a $6.2 million Series A round led by BDC Capital and Pender Ventures. GroundBreak Ventures also participated in the round.
“This is a huge step for both Spark, and the industry. From day one, we have always strived to provide tangible value to our clients,” said Spark CEO and co-founder Simeon Garratt. “As a direct result, we've seen developers sell out projects 3x faster, simply by implementing our platform. Another advantage is the ability to execute hundreds of contracts completely digitally in a single day. Our intention is to own the entirety of new development transactions, both in North America, and globally.”
Spark was originally created as an industry-specific CRM. Now, the company is aiming to transform the way new multi-family real estate is sold by offering a comprehensive suite of products that eliminates the need for multiple platforms.
"COVID has forced builders and developers to reimagine antiquated internal workflows and a clunky client experience,” noted Scott Kaplanis, managing partner at GroundBreak Ventures. “Spark's comprehensive platform vastly improves both with one seamless implementation that ties all elements of project management to the end client."
Catching fire: As real estate developers and project marketing firms across North America have used Spark to sell projects, the company has seen accelerated growth over the past two years—doubling in both annual revenue and headcount.
"The industry opportunity for Spark is massive and our product-market fit uniquely positions us to capitalize on the continued digitization of the real estate industry,” added Garratt. “We are now working in over 80 cities globally and have powered the sale of more than $100 billion in inventory. It's an incredibly exciting position to be in, and we're just getting started.”
"Through a relentless focus on delivering best-in-class solutions tailored for the new development industry, Spark has quickly risen to a global leader in the space," said Kenndal McArdle, principal at Pender Ventures. "We're excited at the opportunity to support the Spark team and help bring to market further innovation that empowers the entire ecosystem."
With over 60,000 new projects per year in North America alone, there has yet to be a dominant player in the market. Spark’s current momentum positions them well to become the principal player in this fast-growing market.
"Real estate is one of the largest sectors worldwide, yet there is still substantial friction and administrative burden in managing the sale of new properties," said Mark Trevitt, Partner at BDC Capital who is joining the company's Board of Directors. "We were attracted to the team for their deep understanding of their customers' pain points. Spark provides the ideal combination of user-friendly software and data management that property developers need to keep their projects running smoothly and create a seamless experience for buyers."
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