From NJ Pools to $10M Startup: The Inspiring Story

The Genesis of Swimply: From Neighborhood Favor to Thriving Marketplace

Bunim Laskin, growing up as one of twelve children, frequently sought creative solutions to entertain his numerous siblings. Observing that a neighbor’s swimming pool often sat unused, he proposed a mutually beneficial arrangement: his family could utilize the pool in exchange for contributing to the pool’s maintenance costs.

This initial agreement quickly expanded, attracting five additional families who similarly contributed to the neighbor’s pool expenses. Remarkably, the pool owner began generating revenue from an asset that would otherwise remain largely idle. This experience ignited an entrepreneurial spark within Laskin, leading him, alongside Asher Weinberger, to establish Swimply at the age of 20.

Early Stages and Organic Growth

Swimply, headquartered in Cedarhurst, New York, commenced operations in 2018 with a beta launch, initially featuring just four pools within the New Jersey region.

“We utilized Google Earth to identify homes with pools, and then personally visited 80 residences to present our concept,” recalls CEO Laskin. “Through organic means, we expanded to include 100 pools. Word-of-mouth referrals were instrumental in our growth.” The initial platform was rudimentary, offering only pool photos and direct contact information for owners.

During its first year, Swimply facilitated approximately 400 bookings and secured $1.2 million in funding from friends and family.

Platform Development and Initial Challenges

In 2019, Swimply unveiled a fully-featured website and app, incorporating an automated booking system. This resulted in a “four to fivefold” increase in growth, primarily driven by organic acquisition. The company also made an appearance on the television program Shark Tank in March 2020, though they did not secure an investment.

However, the onset of the COVID-19 pandemic presented an unexpected opportunity for Swimply.

Pandemic-Driven Surge and Adaptation

Laskin explained that Swimply was ideally positioned to address the needs of individuals during the pandemic. The company swiftly adapted its operations to prioritize safety and minimize direct contact between pool owners and renters.

“We provided a perfect, contactless, self-service solution for people to socialize with those within their quarantine groups,” he stated. Furthermore, guidance from the CDC affirming the safety of swimming due to chlorine’s virus-killing properties significantly boosted business.

Series A Funding and Expansion

Swimply experienced a remarkable 4,000% revenue increase in 2020, culminating in a $10 million Series A funding round. Norwest Venture Partners spearheaded the investment, with participation from Trust Ventures and several angel investors, including Poshmark founder and CEO Manish Chandra, Rob Chesnut, Deborah Liu, and Michael Curtis.

Currently, Swimply operates across 125 U.S. markets, alongside two Canadian and five Australian markets. The newly acquired capital will be allocated towards expanding into new territories and enhancing product development.

How Swimply Works and Market Dynamics

Swimply’s core function is to connect homeowners with underutilized backyard spaces and pools to individuals seeking recreational opportunities. Pool rentals are priced hourly, ranging from $15 to $60 (with an average of $45 per hour), depending on available amenities.

Recent market expansions include Portland, Oregon; Raleigh, North Carolina; and several cities within California, such as Oakland, San Luis Obispo, and Los Gatos.

“A changing perspective among younger generations regarding ownership is a significant factor driving the growth of the Swimply marketplace,” noted co-founder Weinberger, who also serves as Swimply’s COO. “Swimming is the third most popular activity for adults and the most popular for children, yet no other company has focused on making swimming more affordable and accessible…until now.”

Revenue and Reservation Statistics

While specific revenue figures remain undisclosed, Laskin revealed that Swimply is generating “seven-digit monthly revenue” and processing between 15,000 and 20,000 reservations each month. Families constitute the primary customer base.

“Customers can book and pay through our platform, and in 20% of cases, hosts never directly interact with their guests,” Laskin explained. “We are fostering a new pattern of consumer behavior.”

Future Plans and Infrastructure Improvements

The company intends to utilize its new funding to overhaul its technological infrastructure and strengthen its customer support team, ensuring greater responsiveness.

Swimply now provides complimentary liability insurance coverage of up to $1 million per booking, as well as $10,000 in property damage protection.

Team Growth and Owner Earnings

Swimply’s employee count has increased tenfold, from two individuals in December 2020 to over 20 currently, with plans to double the team in the coming months.

Laskin highlighted the potential for substantial earnings for pool owners. “Last year, some owners earned $10,000 per month. One owner in Denver generated $50,000 last year, despite signing up late in the season. We anticipate they will exceed $100,000 this year.”

Quality Control and Safety Measures

A clean pool is the sole requirement for participation. Eighty-five percent of hosts also provide restroom access; those who do not are limited to one-hour reservations with a maximum of five guests. Swimply has also established partnerships with local pool maintenance companies, offering a certification badge to owners who pass inspection, enhancing guest confidence.

Investor Perspective and Future Potential

Ed Yip of Norwest Venture Partners initially expressed uncertainty regarding Swimply’s concept but became increasingly enthusiastic upon further investigation.

“This represents the ‘holy grail’ for a consumer investor. We are not altering consumer habits but rather streamlining the experience and enhancing safety and convenience for all parties involved,” Yip stated.

Yip also emphasized the potential for Swimply to expand beyond swimming pools. “We are witnessing significant demand from hosts interested in listing hot tubs and tennis courts, for example. This could evolve into a marketplace for shared outdoor resources, representing a substantial market opportunity.”

The concept of monetizing underutilized space is gaining traction, exemplified by Neighbor, a self-storage marketplace that recently secured $53 million in Series B funding.