Business
Porch Group Acquires Floify, a Leading SaaS Provider for Loan Officers
Strategic Acquisition Enhances Porch’s Early Access to Homebuyers and Adds Expected $15 Million in Recurring B2B SaaS Revenue to 2022 SEATTLE, Oct. 27, 2021
About this update from Porch Group, Inc.
[{"type":"text","content":"Strategic Acquisition Enhances Porch’s Early Access to Homebuyers and Adds Expected $15 Million in Recurring B2B SaaS Revenue to 2022\nSEATTLE, Oct. 27, 2021 (GLOBE NEWSWIRE) -- Porch Group, Inc. (“Porch” or “the Company”) (NASDAQ: PRCH), a leading vertical software and InsurTech company reinventing the home services industry, today announced the acquisition of Floify, a leading provider of digital mortgage automation and point-of-sale software for mortgage companies and loan officers. The acquisition continues Porch’s strategy of providing software to companies involved in key moments of the homebuying process and expands its early access to high-intent homebuyers who need key services including insurance, warranty and moving services. Floify Acquisition OverviewBased in Boulder, Colorado, Floify helps mortgage companies and loan officers create a better mortgage and refinancing experience for their customers. Floify’s digital mortgage automation and point-of-sale software streamlines the loan origination process by providing a secure application, communication, and document portal between mortgage lenders, borrowers, real estate agents, and other mortgage stakeholders. Loan officers use Floify to collect and verify borrower documentation, track loan progress, communicate with borrowers and real estate agents, and close loans faster. During 2021, Floify has helped these loan officers process on average 77,000 mortgage applications each month. Strategic Rationale History of strong operational and financial performance. Floify has grown its annual recurring revenue (ARR) by 72% CAGR since Q1 2017. With more than 1500 companies currently using its software, Floify saw 130% annual net revenue retention as of Q2 2021 and expects $15 million of revenue in 2022. Floify is a profitable business, growing rapidly, with an expanding base of satisfied SMB and enterprise company clients. Virtually all of Floify’s revenues are recurring B2B software fees. Floify is anticipated to operate at similar margins to Porch’s overall business and is expected to contribute $2 million in revenue to Porch for the balance of 2021 post-close.Provides Porch entry to the mortgage origination market through best-in-class software: Floify’s flexible solution helps mortgage companies and loan officers deliver a simplified process to borrowers. For Porch, addin...