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Amid challenges in the construction industry fueled by tariffs, labor shortages and regulatory uncertainty, contech solutions that target these sore areas saw successful funding rounds. In particular, one startup broke $1 billion in total valuation, making it a so-called unicorn in the parlance of venture funding.
Here’s a breakdown of the six firms and how their tech applies to construction.
BuildOps
$127 million
Santa Monica, California-based project management software developer BuildOps raised $127 million in a Series C funding round, led by Meritech Capital Partners, according to a March 21 news release. With the round, the company entered unicorn status, as it reached $1 billion in total valuation.
BuildOps’ platform unifies scheduling, dispatch, project management and financial reporting onto a cloud-based platform, according to the firm. The company claims its real-time data capabilities and predictive analytics help technicians and administrators work more efficiently, reduce overhead, and increase revenue opportunities.
The investment will be used to expand product capabilities, enhance customer support and scale operations to meet increasing demand, per the release.
Stratus
$32 million
Larkspur, Colorado-based Stratus, which makes cloud-based software that aids mechanical, electrical and plumbing subcontractors with their fabrication workflows, received $32 million in a Series B funding round, according to a Jan. 17 news release. Growth equity firm Radian Capital led the investment.
With Stratus, contractors can move to a digital platform to plan, schedule, manage, track and install fabrication, per the news release. It features real-time performance metrics on builders’ operations and projects. Its platform integrates with industry-standard design tools such as Autodesk’s Revit and AutoCAD, ensuring contractors can leverage their existing software investments.
With the funds, Stratus will stay the course and continue to provide new solutions, per the company.
Lumber
$15.5 million
Artificial intelligence-powered construction workforce management platform Lumber raised a $15.5 million Series A funding round led by venture firm Foundation Capital, with participation from real estate corporation Tishman Speyer, the startup announced on March 25.
Lumber, headquartered in San Jose, California, creates a platform that offers intelligent scheduling, automated compliance monitoring and adaptive payroll processing that it claims can expertly handle complex union regulations.