In this edition of Localogy’s Local Radar series, we examine newly funded companies Airship, Moxie, and Mangomint.
1. Airship
As Localogy Insider readers know, the SMB market is really a fragmented series of mini-markets and verticals. And many of them are highly specialized or have strict regulatory restrictions (think: healthcare and finance). HVAC is one of those verticals, given unique dynamics and market forces. For example, the sector is currently undergoing a widescale private-equity-driven rollups. This puts smaller independent HVAC pros at a disadvantage because they don’t possess the economies of scale and supply-chain negotiating leverage that the larger players do. Airship is a new company that’s come along to change that, and to empower smaller HVAC pros. The software helps them organize their businesses and stay on top of industry-specific dynamics such as incentives/rebates around energy-efficient heat pumps that they can offer to their customers. Doing so helps land new business, and close larger deals. It’s already been able to increase job size by 20 percent for its customers. The company recently emerged from stealth mode and announced a $4 million pre-seed round and partnership with ServiceTitan. It plans to use the capital to continue developing the software and to staff up.
2. Moxie
One of the ongoing trends in local commerce is the growth in med spas. These are treatment facilities for minimally-invasive procedures, that are most often elective and aesthetic (think: Botox, laser treatments, etc.). The prime candidates to open such a facility are those with nursing degrees. This is often because they burn out in the healthcare field, and because many states require RN certification to operate a med spa. But though they’re versed in the medical aspects of the work, they are often lost when it comes to administrative aspects. Moxie has emerged to meet this need with a software suite that’s specialized for running med spas. This includes the typical range of functions for SMB SaaS software such as billing, marketing, and supply chain. Perhaps most attractive to medspa operators is Moxie’s ability to pool together all of its customers to achieve volume discounts on common supplies (Slice does something similar for pizza boxes and other pizza shop supplies). The company’s revenues have grown 4x over the past year and it recently raised a $10 million Series B round– just one year after its $15.7 million Series A.
3. Mangomint
As you can tell from Airship and Moxie, SMB SaaS software is often vertically oriented and finds opportunities where there are operationally nuanced categories. That’s certainly the case with HVAC and med spas. Mangomint is chasing a similar vertically-specific opportunity in spas. The comprehensive suite includes booking, payments, and ongoing text communications for appointment reminders and care instructions. The company’s sweet spot so far is small shops with about 5 employees. And it appears to be working well, as Mangomint has doubled its recurring revenue growth and customer growth every year for the past few years. To date, it has processed more than $1 billion in transactions. All of this has propelled the company towards its recent $35 million Series B round. It will use the cash infusion for product development – specifically around more automation features – and to staff up on engineering and technical levels.
