BBBC 22/03/24 - $31m Dollars, 20x Revenue Growth and Straight Outta Y Combinator - PermitFlow & Furno
Welcome to the Bricks & Bytes Broadcast (BBBC) with Patric Hellermann of Foundamental.
This new format of episode is a weekly dive into the latest construction tech news from the perspective of investors.
From innovations to fundings, market insights, and VC-isms, if you’re building in construction tech, investing in construction tech, or intersecting between the tech and physical world, then we’ll help you keep your finger on the pulse.
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In this conversation, Patric, Martin and Owen discuss two startups: PermitFlow and Furno.
They talk about the challenges faced by PermitFlow in dealing with the slow permit process in the construction industry and the potential for digitizing the planning process.
They also discuss Furno, which offers an alternative to traditional cement plants by providing modular portable kilns that can reduce CO2 emissions.
They explore the funding differences between capital-intensive startups like Furno and digital startups like PermitFlow. Martin also shares his thoughts on time leverage and being more productive.
Takeaways:
Patric's worst investment decision
PermitFlow is a startup that aims to digitize the planning process in the construction industry and streamline the permit process.
Ferno offers modular portable kilns as an alternative to traditional cement plants, with the potential to reduce CO2 emissions by 88%.
Capital-intensive startups like Ferno require significant investment for production, while digital startups like Permit Flow can attract more funding.
Martin emphasizes the importance of time leverage and being productive to maximize efficiency and effectiveness.
Timestamps:
00:00 Introduction and Worst Investment Decision
(01:16) Discussion on PermitFlow
(12:49) PermitFlow's Funding and Capital Requirements
(14:36) Introduction to Furno Materials
(15:54) Investor's Thoughts on Furno Materials
(23:54) Closing Remarks
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Companies Mentioned:
Permitflow - https://www.permitflow.com/
Furno - https://furno.com/
Foundamental - https://foundamental.com/
Y Combinator - https://www.ycombinator.com/
Kleiner Perkins - https://www.kleinerperkins.com/
Felicis - https://www.felicis.com/
Hoffmann Green Cement - https://www.ciments-hoffmann.com/
Aker Solutions Norway - https://www.akersolutions.com/
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Bricks & Bytes
Construction’s £37 Million Augmented Reality - A New Horizon | David Mitchell, CEO at XYZ
Join us for this fascinating episode where we sit down with David Mitchell, the Founder of XYZ – a company revolutionising the construction industry with cutting-edge augmented reality tools. Discover how XYZ's headsets are transforming job sites by bringing real-life 3D models directly to workers, ensuring millimetre accuracy and preventing costly errors.
Listen as David shares his ambitious vision to revolutionise job sites worldwide with AR. Learn how their specialised AR headsets are already preventing costly errors, enabling real-time progress tracking on complex projects, and more.
Key Takeaways:
How XYZ's AR technology is propelling construction to new heights
The importance of building the right team to achieve ambitious goals
The vast potential of AR to transform the construction industry and beyond
And a lot more.
Don't miss this insightful conversation about the future of construction!
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This episode is brought to you by Shft—helping contractors like you leverage BIM to secure a leading position in the race towards construction’s digital future.
Visit: https://maketheshft.digital
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BuildVision is a procurement network for the $5T commercial construction market. We are transforming the commercial construction supply chain by bringing contractors, manufacturers, and project stakeholders onto a single software platform—revolutionizing how every component is sourced, purchased, and financed.
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(00:00:00 - 00:02:27) - Intro To David & Our Sponsors
(00:02:57 - 00:10:42) - About David's Journey Into XYZ Reality
(00:10:42 - 00:35:48) - Understanding XYZ Reality
(00:35:48 - 00:44:03) - How David Manages Everything
(00:44:03 - 00:50:14) - 360 Reality Capture vs XYZ Reality
(00:50:14 - 00:56:30) - Future Plans of XYZ In Terms Of The Data They're Capturing
(00:56:30 - 01:12:44) - David's Experience Of Raising Money From VCs
(01:12:44 - 01:13:39) - Outro
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Bricks & Bytes
Sold for $500m - Scott Wolfe's Epic Story With Levelset
Note: This is a re-release of an episode that was originally published at Groundbreakers. "I sued the bar association because they tried to restrict blogging. Content was just the way I saw the world." - This mindset led to a $500M exit.In today's episode of Groundbreakers from Bricks and Bytes, we had Scott Wolfe, founder of Levelset, share the remarkable journey of building and selling his construction payment software company to Procore. From a law practice dealing with post-Katrina restoration work to pioneering construction tech - Scott's story is filled with invaluable insights.Tune in to discover:✅ How helping contractors with payment problems evolved into a $500M exit ✅ Why Scott took the lowest valuation term sheet and spent 16-36 months building relationships with investors before taking their money ✅ The power of "Help First" in content marketing - how Levelset generated thousands of leads by focusing on solving problems ✅ Why Scott believes companies aren't sold, they're bought - and what that means for founders planning exitsListen to the full episode on Spotify to learn how Scott turned construction payment headaches into a category-defining company that changed an industry.
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Bricks & Bytes
The Tool That Makes Carbon Transparency a Reality: Tangible's Solution for Sustainability
Did you know that building materials account for 11% of all greenhouse gas emissions globally? It's a huge number, and that's why Tangible exists!
Recently, we were invited to the BOOST cohort from Suffolk Technologies where we had a chance to interview Anneli, co-founder and CEO of Tangible, and we got to learn about how they're helping real estate developers measure and reduce embodied carbon, and much more!
Tune in to find out about:
How Tangible measures embodied carbon using BIM files, making it easy for developers to see their impact.
Why legislation, corporate demand, and investor pressure are driving the need for carbon transparency.
How Tangible is helping to reduce the impact of concrete, a major source of emissions.
How data is used to drive better decisions in material selection and building design.
Human Touch in Construction Sales, False Tech Solutions, and Large Company Lawsuits - Bricks, Bucks & Bytes
"Try to keep all your human touch points and automate them on the backend."
In today's episode of Bricks, Bucks and Bytes, we dive into the world of B2B marketplaces in construction. We explore why human touch points are crucial for success, especially in an industry built on trust and relationships.
We also discuss the recent lawsuit between Oracle and Procore, where Oracle accuses a former employee of stealing trade secrets related to payment management software.
Plus, we explored HomeBoost, a startup offering simplified energy assessments for homes using AI. But is it too good to be true?
Tune in to find out about:
✅ The pros and cons of AI-powered home energy assessments
✅ The potential impact of the Oracle vs. Procore lawsuit on the construction tech industry
✅ Why B2B marketplaces in construction need to maintain human interactions
✅ The increasing trend of investors suing portfolio companies in recent years
Ready to dive deeper? Listen to the full episode on Spotify and join the conversation!
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Bricks, Buck$ And Bytes
5 Things Founders Control During Fundraising That Most Don't Know About - Bricks, Bucks and Bytes
"VC is rocket fuel. Do not spend it on a Fiat 500. Only put very expensive rocket fuel if you're actually building a rocket."
In today's episode of Bricks, Bucks and Bytes, we got to learn about Speckle's recent Series A raise, showcasing the renewed liquidity in early-stage funding for 2024.
We also discovered that the construction tech sector saw impressive growth in seed stage funding sizes during Q3 2023, signaling a positive shift in the market.
Plus, we gained invaluable insights from Patrick Hellermann on what really makes VCs tick when it comes to investing in startups.
Tune in to find out about:
✅ The magic "100x potential" that VCs are looking for
✅ Why information asymmetry is your secret weapon between fundraising rounds
✅ How to leverage social validation to your advantage
✅ The power of building a rockstar team to secure funding
Listen to the full episode on Spotify and arm yourself with the knowledge to make your next pitch irresistible!
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Bricks, Buck$ And Bytes
Speckle's $12.5M Funding - How Open Source Software Is Changing Construction Design
Speckle's $12.5M Series A: A Game-Changer for AEC Data Infrastructure
In today's episode of Bricks, Bucks and Bytes, we got to learn about Speckle's impressive $12.5 million Series A funding round, led by Addition, to build the first data hub for the AEC industry.
We also learned about Rexel's rejection of an unsolicited $8.5 billion takeover bid from QXO, signaling potential shifts in the building materials distribution landscape.
Additionally, we gained insights into Patrick Hellermann's framework for evaluating potential investors, emphasizing the importance of avoiding detrimental influences over perceived value-add.
Tune in to find out about:
✅ Speckle's open-source approach to AEC data infrastructure
✅ The potential impact of QXO's ambitious plans on the building materials distribution sector
✅ Key considerations for startups when evaluating corporate investors
✅ The importance of prioritizing non-interference and quality input from investors
Listen to the full episode on Spotify to dive deeper into these fascinating topics in construction tech and venture capital.
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Bricks, Buck$ And Bytes
Construction Tech Funding Hits $35 Billion: What's Next?
From AI-powered construction sales to billion-dollar air taxi gambles: Inside the high-stakes world of tech funding!
In today's episode of Bricks, Bucks and Bytes, we got to learn about Building Radar's impressive €6.5 million funding round from Socii Capital, powering their AI-driven sales automation software for the construction industry.
We also dove into Fundamentals' Q3 update on AEC Tech funding, revealing that total cumulative VC funding for construction tech has hit a whopping $35 billion - triple the 2019 level!
Plus, we had a heated discussion about Lilium, the German air taxi startup seeking a controversial bailout after burning through millions.
Tune in to find out about:
✅ How Building Radar is revolutionizing sales in construction
✅ The surprising increase in construction tech's share of overall VC funding
✅ Why some VCs are calling for government bailouts (and why it's raising eyebrows)
✅ The ethics of venture capital in high-risk, high-reward industries
Ready for a deep dive into the world of construction tech and VC drama? Hit play on Spotify and join the conversation!
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Company Mentioned:
Building Radar
Lilium
SpaceX
Tesla
WeWork
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