Building materials distribution is a $500B industry I didn't know existed, and there's money pouring into it
FYI - distributors here are the middlemen between folks who manfacture goods for buildings (windows, HVAC, roofing, etc.) and contractors
Some interesting tidbits:
- In December, Brad Jacobs raised $3.5B in private placement a new venture in the space (QXO) -> expects to get to $5B ARR in 3 years and build a $50B business
- Home Depot acquired SRS Distribution for ~$18.25B in March
- Highly fragmented industry (7,000 independent operators in the US, many with just one or two branches)
- Very analog/manual processes (place orders in-person, business done through phone calls, lots of sticky notes)
If anyone knows more about this space or is building something interesting here, my DMs are open!