CoConstruct, the Virginia-based SaaS provider of project, financial, and client management software for independent home builders and remodelers, announced that it has acquired CBUSA, the US’s largest group purchase organization that allows custom and semi-custom builders to combine their buying power to more effectively compete with national builders. The acquisition complements CoConstruct’s existing construction software, which its customers use to manage the financials of building projects, by integrating group purchasing programs that improve the underlying economics of residential construction.
CoConstruct, the #1-rated construction software for independent home builders and remodelers for ten years running, is used by more than 5,000 residential construction companies managing over $23 billion in projects in the past year alone. Handling everything from communication tracking, field scheduling, and payment processing, CoConstruct plans to use this acquisition to further the company’s “Build Together” mantra by expanding its community-building efforts beyond best practice sharing to lowering hard costs on projects.
CBUSA, founded in 2004 by Bill Smithers, operates a group buying network of 500 custom and independent home builders in 29 geographic markets, whose combined new home starts rank it as the seventh-largest home builder in the United States. Bill, and the entire CBUSA team, will continue with CoConstruct to expand their work in the combined company.
“CoConstruct is a business improvement company — not just a software company — for builders and remodelers,” said Donny Wyatt, Founder and CEO of CoConstruct. “Bill and the CBUSA team have that same ‘business improvement’ mindset. We’re excited to combine the two companies’ approaches into one integrated solution that makes it simple for customers to take advantage of the hard dollar cost-savings from CBUSA’s power buying model by integrating them into the efficiency-boosting, all-in-one financial workflow that CoConstruct has today.”
“This is the next phase in supercharging our company and will help our team to fully realize CBUSA’s vision,” said Bill Smithers, Founder and CEO of CBUSA. Bill will become a CoConstruct shareholder as part of the transaction. “The more volume we have in the market, the greater our buying power, which is at the core of our “strength in numbers” approach. By combining our expertise in purchasing with CoConstruct’s technology platform and large customer base, we are able to bring more value to our network and unrivaled opportunities for operational improvement.”
While work will begin immediately on integrations to bring enhanced value to CoConstruct users, existing CBUSA customers who are not currently using the CoConstruct platform will continue to participate and benefit from the CBUSA network, as they have in the past. The combined teams will also be working with CBUSA’s national manufacturer partners to help them best capitalize on the greatly expanded post-acquisition reach of the group purchase network.
About CoConstruct
CoConstruct is the highest rated construction software for home builders and remodelers as ranked by Gartner’s SoftwareAdvice.com and has been named to the Inc. 5000 list for the last seven years. The company’s cloud-based project management tools help independent builders and remodelers coordinate their projects, communicate better with clients & crews, and control the financials of their jobs. Users can manage their projects from their tablet or desktop, or in the field with a mobile app. CoConstruct is backed by San Francisco- and Austin-based private equity firm Serent Capital in 2018. For more information on CoConstruct, visit www.coconstruct.com.
About CBUSA
CBUSA is a powerful homebuilding network devoted to the success of independent home builders by reducing costs, increasing service levels, and creating a community of shared knowledge. The company is currently established in 29 cities nationwide, with a distributed team of 16 employees focused on serving and expanding their markets. www.cbusa.us
Serent Capital invests in growing businesses that have developed compelling solutions that address their customers’ needs. As those businesses grow and evolve, the opportunities and challenges that they face change with them. Principals at Serent Capital have firsthand experience at capturing those opportunities and navigating these difficulties through their experiences as CEOs, strategic advisors, and board members to successful growing businesses. By bringing its expertise and capital to bear, Serent seeks to help growing businesses thrive. Learn more about our portfolio companies.
