EquipmentShare secures $26 million in funding to fuel marketplace expansion
EquipmentShare, a leading provider of construction technology solutions that support contractors and original equipment manufacturers (OEMs) better manage equipment and make smarter business decisions, has secured $26 million in funding led by Insight Venture Partners and existing investor Romulus Capital. Y Combinator, another existing investor, also participated in the round. With this capital, EquipmentShare will launch its mixed-fleet telematics solution, ES Track, and open peer-to-peer marketplace locations in eight additional US markets.
“We’re honoured to have the continued support of Romulus Capital, specifically managing partner Neil Chheda, who has played a key role in the company’s growth and look forward to drawing from Insight’s expertise and experience,” said Willy Schlacks, President of EquipmentShare.
“Since our founding, we’ve committed ourselves to helping the construction industry become more efficient, lucrative and productive,” said Schlacks. “With this funding, we’re able to spark even greater change in the construction industry by further expanding our rental marketplace footprint and providing contractors everywhere with the telematics data they need to optimize their equipment.”
ES Track is a robust telematics platform built for the construction industry, providing contractors with the ability to track the location, health and use of their fleet in real time, all in one place. ES Track provides in-depth oversight tools and analytics for both contractors and original equipment manufacturers (OEMs). Previously available only to EquipmentShare’s marketplace users, ES Track will now be available for contractors everywhere.
“ES Track enables contractors and OEMs to make more informed decisions about their fleets through automated data collection,” said Schlacks. “Not only can contractors automate maintenance and job analytics, but they can also boost the ROI of their fleets by renting their underutilized assets on the EquipmentShare marketplace.”
ES Track will also play a vital role in helping contractors comply with the upcoming ELD Mandate issued by the Federal Motor Carrier Safety Administration, which will require all contractors to prove hours of service compliance using electronic logging devices by Dec. 2017. ES Track is a ready-made solution to this mandate and will enable contractors to comply easily while benefitting from ES Track’s innovative analytics and data for their fleets.
“EquipmentShare is quickly emerging as the gold standard telematics-connectivity platform and marketplace for the construction industry, changing the paradigm on how contractors operate their businesses,” said Harley Miller, Vice President at Insight Venture Partners, who will join EquipmentShare’s board of directors. “We are pleased to add EquipmentShare to our portfolio of companies as they continue to outpace the competition and redefine a massive and growing industry.”
EquipmentShare will also use this funding to expand its peer-to-peer marketplace locations. Currently available in four US. cities, EquipmentShare will launch in eight new markets in the South and Midwest in 2017. Contractors in these markets will be able to lend idle equipment for additional revenue or rent equipment at rates lower than traditional rental companies.
“EquipmentShare has become one of the fastest-growing construction technology companies in the nation. In the 18 months following our investment in their seed round, the company expanded into two new markets and developed a comprehensive telematics platform that will benefit contractors on an entirely new scale,” said Neil Chheda, co-founder and general partner at Romulus Capital. “EquipmentShare is a prime example of company that has taken the collaborative consumption model and evolved it into a more meaningful technology business.”
EquipmentShare will continue to expand its suite of solutions to help contractors use technology to more efficiently manage their fleets.