Channel 4’s 4iP fund has acquired a minority equity stake in former Seedcamp winner, MyBuilder.com for £350,000. As part of the deal, MyBuilder.com’s services will be integrated into Channel 4’s 4Homes website, with the company getting a proportion of CPA revenue generated through the site.
The deal is significantly 4iP’s first investment into a later stage company with a fully formed product and a proven business model. 4iP’s Daniel Heaf says it’s representative of Channel 4’s strategic aims to diversify its own revenue streams, and as such, this could be the first of many similar investments which further the broadcaster’s remit in public service digital media.
MyBuilder.com aims to solve two simple user needs; the difficulty homeowners have in finding good builders; and the problems builders face in getting the right work when and where they need it. Not unlike eBay buyer and seller ratings, tradesmen are rated on their workmanship by those who hire them, making it easier for consumers to find high quality builders and avoid cowboy builders and other rogue traders.
Former stonemason Ryan Notz founded the company as Buildersite in 2004. The site relaunched as MyBuilder.com, attracted angel investment and turned its first profit in 2008. Today, MyBuilder.com is getting in excess of 6,000 jobs posted monthly, and the company says it is more than doubling revenue every quarter.
Notz says the company will use 4iP’s investment to ramp up its marketing efforts and forging commercial deals with relevant partners. They’ll also be hiring soon, and focusing on product development.