Vacation rental platform RedAwning has earmarked a $40 million funding announced today to further develop its tech platform and grow the business.
The funding has been led by Silversmith Capital Partners from Boston which gets “a significant minority stake” in return for the cash.
To date the business has been funded by CEO Tim Choate and CTO Lance Nelson, both of whom are remaining with the business. The business is profitable, according to the announcement, and Silversmith is its first institutional investor.
RedAwning’s technology platform for owners has already “reinvented the business of channel management for the vacation rental segment,” according to Jim Quagliaroli, managing partner of Silversmith.
The funding will be used to accelerate development of the platform, to expand RedAwning’s presence in existing markets while entering new ones and also double its workforce and secure bigger premises.
The business has 100,000 unique properties on its books in 10,000 destinations. It distributes inventory via RedAwning.com and also via third parties including Expedia, booking.com and Airbnb.