Trash Butler plans to scale into new markets with a $13 million investment by New York-based growth equity firm TZP Group.
The Tampa-based trash valet service started the search for a second private equity partner last year following significant growth after a $4.1 million Series A funding round led by Florida Funders in 2019, according to Co-founder Nick Friedman.
Trash Butler’s annual revenue has catapulted from $4 million to an anticipated $32 million this year, while its franchise has expanded to clients in 30 states, Friedman said.
“We want to build the infrastructure to grow to $100 million and beyond,” he said.
Friedman said Trash Butler plans to upsize its sales team to reach more clients in new markets, as well as invest in upgrades to its technology stack that manages its decentralized workforce of 1,200 “butlers.” The company services around 300,000 doors daily, which equates to about 1,000 multifamily apartment complex clients in total, he said.
Friedman said the company is also leaving the door open for acquisition opportunities of smaller competitors and adjacent services that would complement Trash Butler’s current offerings.
Trash Butler currently has roughly 50 corporate staff between its offices in Tampa and Dallas, where it acquired a competitor, WellKept, in October 2020.
Friedman and Trash Butler Co-founder Omar Soliman are also the entrepreneurs behind College Hunks Hauling Junk, one of the region’s largest private companies with upward of $215 million in annual revenue, which led to the latest deal with TZP Group. The firm was a frontrunner that ultimately did not invest in a capital raise CHHJ closed in 2021 but remained interested in a partnership with the Tampa duo through Trash Butler, he said.