The Wall Street titan says the investment is a smart decision
Construction finance technology startup Rabbet has announced an investment from Wall Street titan Goldman Sachs.
The Texas-based company has raised $8 million in its Series A funding round, in which Goldman Sachs’ Strategic Investments group, QED Investors, and Camber Creek all participated. Rabbet said that the funding will support its platform, which uses machine learning to make the construction process easier for real estate lenders and developers, in addition to other various expansions.
The company will grow its service offerings and create new partnerships with construction lenders, developers, and other industry stakeholders. The funding will also back Rabbet’s efforts to increase its software engineering and sales teams in Austin.
“With the support of Goldman Sachs, QED and Camber Creek, Rabbet will further its mission to bring frictionless transactions to the construction industry,” said Rabbet CEO and co-founder Will Mitchell.
“Our name represents our commitment to strengthening connections in the real estate industry and fueling today’s connected construction economy,” said Mitchell. “Through intelligent automation, our platform provides operational efficiency, improved customer experience and faster payments, representing a $21 billion opportunity for lenders and borrowers.”
Investing in Rabbet was a smart decision because of the company’s ability to simplify an otherwise complex process, said David Bell, managing director of Goldman Sachs’ Construction group.
“We firmly believe construction finance is going to be automated and brought out of its decades-old, paper-ridden process,” Bell said. “Rabbet is the only solution we've seen that can handle the complexity of this transition. We are committed to being on the forefront of technology, and working with Rabbet ensures we stay on the leading edge.”
