Madrid-based marketplace Webel, which enables users to search and book almost any service in the comfort of their homes, has raised €2.1 million in seed funding. This follows the €550K funding it secured back in February this year.
The latest investment round was led by Estonian VC Trind Ventures known for investing in Mjuk and SACLÀB. It also received backing from ZAKA Ventures, Decelera Ventures, Tiburon Ventures, and other business angels, such as Hugo Arévalo, the founder of ThePowerMBA, who backed Spanish companies such as Glovo or Playtomic.
Expansion plans ahead
Webel plans to use this funding primarily for expansion purposes. Based in Madrid, the marketplace expanded into Barcelona and Zaragoza, which are experiencing 3x faster growth than Madrid. Now, Webel plans to deliver over 1 million services per year and expand into new markets like Italy and the UK.
Brings services to users’ doorsteps
Webel was founded in 2019 by Nacho Tejero, Carlos Estévez Rincón, Guillermo Mateo, and Javier Ginés Sánchez while at university. It has developed an app where clients can book their services in just five clicks. It allows users to easily search, book, and enjoy almost any service in the comfort of their homes.
Previously, numerous startups that tried this model have struggled in profit and scalability due to low client repetition caused by platform leakage. Webel addresses this challenge with its simple approach. In addition to the app which lets users book services they need, Webel also creates value for their supply.
To achieve this, the company has developed SaaS tools such as Calendar, notifications, automated invoices to help professionals easily manage their services booked through the app. It uses an algorithm that compares a professional’s repeat business with that of their peers, rewarding the most loyal suppliers with higher visibility and lower commissions.
Webel’s approach was simple, as its CEO Nacho Tejero explained: ‘If you want people to place repeat orders through your platform (and pay a commission), the value created for both parties by doing so – such as ease, speed, and comfort – must exceed the economic value (take rate) you are extracting from the transaction. If not, people will logically opt for alternatives off-platform.”
“We were closely tracking the team of Webel for almost a year. During that time, they really proved the scalability of their marketplace model and expanded from Madrid to Barcelona and Zaragoza with impressive growth numbers,” said Andrej Petrus, Chief Investment Officer at ZAKA VC. “What is even more important for us is the dedication of the team, and we feel that they really know what they are doing.” Webel is the first investment of ZAKA VC in Spain, but they are “excited and looking forward to this platform expanding into other European regions and even outside.”
“Since our investment in the previous round, we have consistently been impressed by the team’s sheer grit and the company’s outstanding performance. They have shown that home services marketplace can thrive by addressing the key issues for both sides of the marketplace. We are excited to continue supporting the team on their ambitious goals,” said Peeter Kompus, Principal at Trind VC.
