Rabbet, an intelligent construction finance platform, announced Wednesday (Feb. 20) it has raised $8 million in Series A funding.
In a press release, Rabbet said the funding round included participation by Goldman Sachs’ Principal Strategic Investments group, QED Investors and Camber Creek. “With the support of Goldman Sachs, QED and Camber Creek, Rabbet will further its mission to bring frictionless transactions to the construction industry,” Rabbet CEO and Co-Founder Will Mitchell said in the press release. “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.”
Through its platform, Rabbet aims to bring efficiency, accuracy, and visibility to the construction finance industry. Its platform relies on machine learning to organize documents and connect information to enable instant compliance and faster decision making for lenders and developers in the real estate market. Rabbet said that with the new funding the company, which used to go by Contract Simply, will invest in the development of its automation platform, expand its service offerings and to cultivate partnerships with construction lenders and developers. The funding will also go to support its effort to expand its software engineering and sales teams located in Austin, Texas.
“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,” said David Bell, managing director of Goldman Sachs’ Construction group, in the same press release. “We are committed to being on the forefront of technology, and working with Rabbet ensures we stay on the leading edge.”
Since its inception in 2017, Rabbet has improved efficiency for projects sized as much as $150 million across the country, according to the press release.