Digital home information company HomeZada is expected on Tuesday to close a $2.1 million seed financing round, much of it from local investors.
The company will use the money to expand its marketing and for more research and development, said John Bodrozic, co-founder of the company.
This is the first outside money HomeZada has taken since it launched publicly in January 2012, he said.
Investors in this seed financing round include Folsom venture fund Moneta Ventures, as well as local angel investors, the company's founders and other investors, said Lokesh Sikaria, managing partner of Moneta Ventures.
“Our investment in HomeZada is part of continued support of early stage companies in the Sacramento region," Sikaria said in a news release. “HomeZada has a solid long-term vision and the founding team has previous success building a software company."
HomeZada is a website and a mobile app that helps homeowners organize and protect household inventory documents and receipts. It can be used for insurance claims, for maintenance, inventory and records.
The interactive software also sets checklist schedules for all types of household maintenance, such as when to change air conditioning filters, clean the chimney and other duties.
HomeZada features more than 150 maintenance tips, and it sets routine maintenance schedules for home appliances and systems. It also keeps all contracts, receipts and contact information for service providers such as architects, interior designers, landscapers, plumbers, pest control and contractors. There also is a module for home renovation projects.
Using that data can also help a homeowner sell a house, because the homeowner can document repairs, age and condition of systems and inspections.
The company last year launched HomeZada Professional, which mortgage, real estate or insurance agents can give as a gift to clients.
It turns out that the professionals have been slower to catch on to HomeZada than direct customers. The company will use the investment to target marketing more directly at users, Bodrozic said
The HomeZada service costs homeowners $59 per year, or $5.95 per month. It also has a free version, and the company has had about a 12 percent conversion rate from free users to paid users, he said.
The site is secured by dual passwords so private information stays private. The information is stored on secure remote servers.
Bodrozic co-founded HomeZada with Elizabeth Dodson and David Ing. The three worked together at Meridian Project Systems Inc. of Folsom, which Bodrozic co-founded in 1993.
Dodson was director of business development with Meridian, and Ing was a software developer.
Bodrozic sold Meridian in 2006 to Trimble Navigation Ltd. (NASDAQ: TRMB), which still operates Meridian as a wholly owned subsidiary.
Meridian develops and sells construction project management suite of software that allows developers to track projects from planning to completion. It is used by building owners, construction and engineering firms and government agencies.
They all left Meridian in 2010 to concentrate on what would become HomeZada.