More growth requires more capital. That’s why Spiffy CEO Scot Wingo agreed to add millions in additional financing, bringing on a new investor and a board member in the process.
Edison Partners is adding $10 million to the Series B round for Spiffy, the on-demand car care service based in Research Triangle Park. The added funds bring the total to $32 million. The deal includes a board seat for Lenard Marcus, a partner with Edison Partners.
“We’re going to be doing some recruiting, expanding our engineering team,” Wingo said. The company currently has 55 people at its headquarters and 400 technicians in markets across the country. The plan is to double both of those numbers, Wingo said. The growth is happening so quickly that the firm may need to evaluate its Triangle real estate footprint next year. Its other North Carolina markets include Charlotte, Greensboro and Wilmington, according to the website.
One business segment particularly prime for take off is Spiffy's new odor elimination device for fleet customers, a “Smart Tumbler” that it’s selling alongside its service offerings. The success of the device means more jobs in electronic components, Wingo said.
Marcus told the Charlotte Business Journal's sister publication, Triangle Business Journal, that Spiffy is the sole Triangle firm in Edison’s portfolio. But the firm, which typically targets companies with between $7 million and $30 million in annual recurring revenue, is on the hunt.
“We think it’s a strong region and we’re active in this community,” Marcus said.
Marcus said the shift toward convenience had him attracted to Spiffy.
“It’s almost a change in society to get your time back,” he said, noting that he remembers washing his parents' car every weekend. “Nobody does that anymore.”
With Spiffy, people can schedule car washes from their home or office.
Along with the business model, Marcus has an existing relationship with Spiffy backers Bull City Venture Partners of Durham. They "were both pretty bullish" on Wingo, he said.
