Serviz, an on-demand home services company, has hard-launched its website and iOS app to help consumers fix up their homes.
Co-founder Zorik Gordon said typical go-to sites for home repair, such as Angie’s List, Google and Yelp, are “directories.”
“The difference with us is that we’re an end-to-end solution,” Gordon said. “You press a button, and we’re responsible for the entire transaction.”
Serviz currently offers skilled labor services in handyman work, plumbing, carpet cleaning and appliance repair. During the three months leading up to its hard launch, Serviz said it completed 2,000 jobs. Forty percent of customers provided feedback on the locally licensed technicians, or “Serviz Pros,” who undergo background checks. The company plans to roll out offerings in other categories such as electrical work, painting and pest control in the next couple months.
Predetermined prices range from $45 to $60 an hour depending on the service. The company generates revenue by taking a percentage off the service cost, margins that Gordon said are roughly 20 percent to 30 percent.
Gordon and fellow co-founder Michael Kline spun the Sherman Oaks startup out of ReachLocal, an online network headquartered in Woodland Hills that connects local businesses with consumers. It’s from running ads for small- to mid-sized businesses that Gordon and Kline saw an opportunity to disrupt the $400 billion home services industry.
“What you’re seeing with folks like us and Uber is this on-demand revolution, which is about selling local services online,” Gordon said.
Serviz closed a $7.5 million round in February, an investment led by Groupon Inc. with a potential $3.2 million earn out. The company plans to expand its services into Orange County and San Diego by the end of the year.