Avoca, a startup founded by Tyson Chen and Apurva Shrivastava, has experienced rapid growth, currently serving over 800 customers in the home services sector, including HVAC and plumbing. After initially targeting restaurants with their AI system for handling missed calls, the founders pivoted their focus during a chance encounter with Rescue Air, a Dallas HVAC company, at a Texas restaurant conference.
Recognizing the substantial financial impact of missed calls in the HVAC industry, where losses could reach up to $40,000 for a missed installation, they developed a tailored solution for Rescue Air over three months in 2023. This collaboration not only refined their product but also helped them secure their first customers.
Avoca has successfully raised more than $125 million in funding across three rounds, achieving a valuation of $1 billion. Their funding includes contributions from notable investors like Meritech, General Catalyst, and Kleiner Perkins. The HVAC market is projected to be worth between $50 billion and $75 billion by 2032, highlighting the significant opportunity for Avoca's technology within this underserved industry.