Upwork Co Founder launches a new company called Ergeon. The ergeon company has been building fences for quite some time. I’d ask you to pass the bong if you told me this week I’d learn about a fence-building company that employs 350 people and has raised $53 million. But that’s precisely what Ergeon has been quietly constructing for the past four years. It just finished a Series B fundraising round and recently launched in Georgia, in addition to Texas and California.
Jiayue He, a licensed contractor, and Odysseas Tsatalos, who co-founded now-IPO’d Upwork and accounting software Intacct, which was acquired by Sage for $850 million, co-founded the company.
The company’s concept is straightforward: it allows anyone to order construction projects such as fences, driveways, and other home improvements online in the same way they acquire other items and services. The company’s current sweet spot is projects that are too small to require the services of a general contractor but may benefit greatly from one. Ergeon quotes and manages the customer connection, then subcontracts the job to local contractors.
He explains that the pair chose construction partially because it has one of the largest labor shortages in the country, with more than a million vacant jobs at any given moment, according to him. According to the business, the industry is worth $1.5 trillion in the United States alone.
Ergeon is in charge of all communications between the contractor and the homeowner, as well as ensuring that the job is completed correctly. The firm promises that if a fence blows over a few months after installation, they will replace it.
Customers aren’t the only ones that like the product, according to the company, because the contractors are as well.