Copyright Business Insider
Digs, an AI product for home builders, has raised $19.1 million in seed funding. Digs came out of stealth in 2023, and previously raised two $7 million rounds, cofounder and CEO Ryan Fink told Business Insider. It announced Thursday that it has closed an additional $5 million in seed funding, led by Dallas-based SPLY Capital with participation from Lanthorne Homes. The Vancouver, Washington-based startup uses AI to organize building documents. Fink, whose last startup, Streem, was acquired by Frontdoor in an eight-figure deal, cofounded the company alongside Ty Frackiewicz, the chief product officer. Digs offers two main products. DigsCanvas is used for preconstruction, serving as a hub where trades and vendors can collaborate on diagramming, Fink said. When construction is complete, DigsCare handles warranty management, helping builders troubleshoot issues and deflect ineligible requests. Digs also generates "digital twins" — an interactive 3D model — to assist homeowners with upkeep after construction is complete. "This is their life's largest asset, and they know nothing about it," Fink said, adding that information during the build process is "typically lost into the ether once the home's handed over." The company generates revenue by selling seats to builders, who can then invite contractors and homeowners as free collaborators. Digs is exploring the sale of products to homeowners, where both the company and builders would take a cut of the purchases. It's also looking into a subscription service where homeowners could purchase quarterly or seasonal maintenance. Digs has nearly 10,000 homes using it, and Fink said the company expects to be cash flow positive by the end of next year. Digs has 28 employees, mostly in engineering, product, and design. It will use its new funding to build out its sales arm. Digs isn't the only startup building AI tools for construction. Trunk Tools creates AI agents to assist with project tracking, while Scalera uses AI for procurement and tender management.
