On Demand Parking App SpotHero Raises $4.5 Million In Series A Funding
Investors Fuel Expansion to Improve Off-Street Parking for Drivers
CHICAGO, June 11, 2014-- SpotHero, a mobile app helping drivers reserve parking on demand, announced today a Series A investment of $4.5 million. The funding round included participation from Chicago Ventures, Bullpen Capital, Battery Ventures, OCA Ventures, Pritzker Group Venture Capital, Lightbank, G2T3V, e.ventures, Draper Associates and 500 Startups. In addition, Mike Gamson of LinkedIn will join SpotHero's Board of Directors, which includes Sam Yagan (CEO of Match.com) and experienced venture capitalist Sam Guren.
SpotHero's free mobile app for iPhone and Android provides drivers with a worry-free way to find parking in convenient garages and lots, compare affordable rates and reserve spots in advance. The app helps garages fill unsold inventory, and also helps drivers know exactly where they will park and how much they will pay.
"I started SpotHero to make a few extra bucks renting out my friends' parking spots," said Jeremy Smith, Co-Founder and COO of SpotHero. "Three years later, we've partnered with the largest parking operators in the country and are sending individual parking garages as much as $500,000 per year in incremental revenue."
Since raising $2.5 million in December 2012, SpotHero:
•Grew over 600 percent
•Expanded to seven markets including Chicago, New York, Washington DC, Boston, Baltimore, Newark and Milwaukee
•Built a targeted marketing platform proven to drive incremental revenue to individual garages
Proceeds from Series A financing will enable SpotHero to expand their parking supply and national presence while providing an even better parking experience for drivers.
"SpotHero is on pace to become number one in the parking reservation marketplace," said Mark Lawrence, Co-Founder and CEO of SpotHero. "This funding milestone will help us expand our relationships with parking operators so that we can all grow the parking industry together."
Over the past 18 months, SpotHero grew from 5 to 22 full-time employees and just moved into a new office headquartered in Chicago, overlooking a beautiful parking lot. Also, the company is actively hiring full-time employees in all departments.
"As a longstanding SpotHero customer and now investor, I couldn't be more confident about SpotHero's team and product," said Stuart Larkins, Partner at Chicago Ventures. "We look forward to helping SpotHero expand their offering across the country."
Drivers can download the free SpotHero iPhone App or Android App, or visit SpotHero.com to learn more.
SpotHero is a mobile app and website that takes the pain out of parking and makes life easier for the daily driver. Parking operators give SpotHero their excess inventory. SpotHero then makes parking deals available to drivers who need parking. Founded in 2011 by Mark Lawrence, Jeremy Smith & Larry Kiss, the company is headquartered in Chicago and has offices in San Diego and New York City. After graduating from Excelerate Labs (now Techstars Chicago) in the summer of 2012, SpotHero raised a $2.5 Million seed round and expanded to 7 cities. For more information, visit www.SpotHero.com
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