Back in August, we told you about an unusual investment competition created by Andy Sack and the crew at Lighter Capital. In essence, the Seattle firm promised to bankroll one company with a loan of up to $500,000.
Well, after more than 100 submissions, Lighter Capital has found the winner of its so-called “Capital Countdown” contest. The company is called HireAHelper, and it’s described as one of the largest marketplaces for consumer day labor.
“HireAHelper far and away showed the most growth potential to fit with our Revenue Loan structure,” said Sack.
Lighter Capital isn’t saying exactly how much it’s giving to HireAHelper.
Lighter Capital is not a venture capital firm. In fact, it targets companies that are generating revenue of more than $1 million and just need an extra boost. It doesn’t take an equity stake as part of its investment, instead agreeing to a fixed percentage of revenues up to a certain cap. (More on how it works here).
The firm plans to run new Capital Countdowns to fund early-stage companies beginning next year. Lighter Capital also has bankrolled companies such as Tomato Battle and specialty food company Laloo’s Goat’s Milk Ice Cream.
[Post updated at 6 p.m. with additional information]