ClubLocal, an Encino, CA-based platform to book and buy household services, completed a $10.7m round of funding.
The round was led by Groupon, Inc., with participation from a group of individual investors, and two of the original founders of ReachLocal, Inc. It consisted of an initial $7.5m investment with an option for Groupon to contribute an additional $3.2m within the next twelve months.
The transaction is part of the transfer of the ClubLocal business by ReachLocal to a new entity in exchange for a minority interest. It will now be wholly owned by Serviz, Inc. and Zorik Gordon, the former founder and CEO of ReachLocal, Inc., and Michael Kline, the former founder and President Local Commerce of ReachLocal, Inc. will serve as the company’s CEO and President, respectively.
Launched in August of 2012, ClubLocal has completed over 11,000 home repair jobs across more than a dozen different home services categories (Plumbing, Handyman, Heating & Air Conditioning, Electrical, Appliance Repair, Carpet Cleaning, Damage Restoration, Duct/Dryer Vent Cleaning, Garage Door Repair, Home Inspection, House Cleaning, Mobile Auto Detailing, Pest Control, Pressure Washing, Window Cleaning, Painting), expanded its offerings from its Dallas base into the San Francisco Bay area and announced plans to serve other U.S cities in the near future.
The company intends now to use the funds to expand its geographic presence and its network of independent professional service providers and to accelerate the introduction of innovative features to its online and mobile booking and transaction platform.