A remote-first startup with founders and executives based in Colorado and Dallas, Texas, raised a $15 million Series A round on April 29.
Backflip is a real estate fintech startup building technology for single-family home investors. The startup has developed what it calls an “end-to-end platform” for residential investing, with tools for finding and analyzing properties and securing financing. Backflip said it caters to entrepreneurs and that its platform analyzes, on average, $5 billion worth of properties each month.
The startup’s recent Series A was led by New York-based FirstMark Capital, a firm that was an early investor in Airbnb, Shopify and Pinterest. Vertical Venture Partners, LiveOak Venture Partners, Revel Partners, ECMC, Crow Holdings and angel investors also participated in the round.
Backflip’s valuation was not disclosed. But the startup, which operates legally as RPE Home Inc., said it has surpassed a net revenue run rate of $10 million and neared profitability, major milestones for a venture-backed startup. Revenue run rate is a projection of annual revenue based on current pacing.
More than 900 home purchases have been funded through the software, Backflip said, and the average gross profit on its platform is $82,000 per property.
Backflip has 51 employees across the U.S., with four based in Colorado, including its co-founder and Chief Operating Officer Jake Rome. Its other co-founder and CEO Josh Ernst is based in Dallas, per his LinkedIn.
The startup said it intends to grow its headcount but did not specify how many people it plans to add. It is actively hiring for 12 positions ranging from marketing and engineering to account executives and sales development representatives, according to its website.
“Backflip is not just about flipping houses; it’s about flipping the script on the why, how and what it means to be a real estate entrepreneur,” Ernst said in a statement. “Over 400,000 homes are flipped every year in the U.S. and growing. Our mission is to help everyone access the funding and tools they need to participate.”
FirstMark Managing Director Adam Nelson said in a statement that the Backflip team was “building the financial operating system for this integral but overlooked part of the real estate value chain.”
In 2022, Backflip announced an $8 million equity seed round plus $27 million in debt funding.
Holden Wilen from the Dallas Business Journal contributed reporting.
