How to Build a Construction Tech Company That Gets Acquired for $600M
"Most software companies either get acquired or go out of business. If you start doing really well, they're either going to copy you or buy you."In today's episode of Bricks and Bytes, we had Geoff Tarrant from Payapps and we got to learn about how a $600 million construction tech exit really happens, why Australian startups must expand globally, and the brutal truth about fundraising timing... and many more!Tune in to find out about:✅ Why construction tech companies never IPO and always get acquired instead✅ The mistake founders make when expanding to new markets too early✅ How to build relationships with potential acquirers years before selling✅ Why raising money too late kills more startups than anything elseGeoff shared incredible insights from building PayApps from a CFO's monthly nightmare into a tens-of-millions revenue business that Autodesk couldn't ignore. His investment banking background gives him a unique perspective on what really drives acquisitions and why timing everything wrong can destroy even great companies.Listen now on Spotify to discover the real playbook for construction tech exits and what founders get dangerously wrong.=============Chapters01:41 – Intro & Acquisition Overview
04:34 – How Claims Are Evolving in Construction
07:41 – Market Dynamics & Competitive Landscape
10:30 – The Role of Independent Players in ConTech
13:45 – Inside the Acquisition: Strategy & Timing
16:49 – What Happens After: Post-Acquisition Integration
19:37 – Winning Customers: Acquisition Strategies That Work
22:31 – Going Global: Expansion & Market Entry
36:58 – Hard Truths: Challenges in New Markets
42:13 – Product-Market Fit: Why It Matters More Than Ever
47:58 – Team Building at Scale
52:55 – Raising Capital & Managing Dilution
01:00:39 – What’s Next: AI & The Future of ConTech
01:03:59 – Where the Opportunities Are: Shifting Construction Markets
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Bricks & Bytes
Building the Google Maps of Underground America - This Ex-Soldier Mapping What's Beneath Our Feet
From clearing landmines to building the "Google Maps of what's beneath the ground" - sometimes the most unexpected backgrounds create the biggest breakthroughs.Most people can't imagine that we don't actually know where underground utilities are buried. Yet there are 169,000 construction projects happening every single day in the US that need this critical information.In today's episode of Bricks and Bytes, we had Itzik from 4M Analytics and we got to learn about turning military explosive detection expertise into construction tech, the tragic consequences when underground mapping fails, and how AI is revolutionizing subsurface data... and many more!Tune in to find out about:✅ How military landmine detection skills translate to finding buried utilities ✅ Why 8% of every construction budget goes to unknown underground risks✅ The business model that maps once but sells the same data forever ✅ From 104 employees to mapping 22 US states in one yearReady to discover how one founder is preventing construction disasters while building a unicorn? Listen now on Spotify.------------Chapters00:00 Intro02:00 From Military to Mapping: The Journey Begins04:56 Building the Google Maps of the Subsurface08:07 Navigating the Challenges of Investment10:49 Understanding the Utility Coordination Landscape13:57 The Pain Points in Construction and Excavation17:01 The Value Proposition of 4M Analytics19:56 The Role of Technology in Mapping Subsurface Utilities23:13 AI and Its Impact on Data Accuracy25:48 The Importance of Timing in Tech Solutions28:56 Innovations in Data Collection and AI Integration41:01 The Future of Construction and AI42:17 Expansion and Focus on the US Market45:36 Navigating Challenges and Learning from Mistakes51:41 Adapting Go-to-Market Strategies57:01 Achieving Product-Market Fit01:02:21 The Role of a CEO in a Growing Company01:10:14 Closing Thoughts and Future Initiatives
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Bricks & Bytes
AI Won't Replace Construction Workers - Here's Why (Former Autodesk Director Explains)
"AI can create decent poetry way before it can deal with engineering work."This blew my mind during our conversation with Francesco Iorio, CEO of Augmenta.The construction industry is facing a massive problem. The gap between what technology can do and how we actually build is bigger than almost any other field.Francesco shared how his team is tackling electrical design automation - one of the most complex problems in construction. They're not just speeding up workflows. They're completely rethinking how buildings get designed.In today's episode of Bricks and Bytes, we had Francesco and we got to learn about why electrical design is so complicated, how AI misconceptions are holding back the industry, and why automation is the only path to sustainable building design... and many more!Tune in to find out about: ✅ Why recreating software like Revit costs over 500 million dollars ✅ How labor shortage is driving construction tech innovation ✅ Why error-free design is still years away but getting closer ✅ How automation will change construction contracts and insuranceListen now on Spotify and join the conversation about the future of construction technology.------------Chapters00:00 Intro02:45 Introduction to Generative Design in AEC07:51 Francesco Iorio's Background and Journey12:33 Identifying the Need for Augmentor17:31 The Evolution of Augmentor's Focus22:41 Challenges in Electrical Design27:39 Augmentor's Current Capabilities and Future Goals33:02 Addressing Labor Shortages in Electrical Design35:23 Funding Journey and Investor Conviction39:05 Sustainability and Automation in Design41:49 Integration Challenges in AEC Solutions45:18 The Quest for Error-Free Design50:33 AI's Role in Generative Design54:46 Customer Engagement and Sales Strategies59:13 Demographics of Early Adopters01:02:49 Future Expansion Beyond Electrical Design
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Bricks & Bytes
"20-Year-Old Software is Killing Architecture" - Legacy Systems & Cloud Solutions from Qonic Founders
"Loading 19 files, each over a gigabyte, into a web browser and manipulating them like butter was the moment I knew I had to join Qonic." - Aaron Perry, former digital design lead at one of UK's largest architecture firms.In today's episode of Bricks and Bytes, we sat down with Mark and Aaron from Qonic to explore how they're revolutionizing AEC software with cloud-native technology that overcomes the limitations of decades-old industry tools.Tune in to find out about: ✅ Why existing AEC software built in the 90s is holding the industry back ✅ How Qonic handles complex construction models that traditional tools can't process ✅ Their innovative "per project size" pricing model instead of per-user licensing ✅ Why contractors adopt new tech faster than architects (hint: it's not about the colors)Listen to the full conversation on Spotify to discover how Qonic is enabling true collaboration across the entire building lifecycle.-----Chapters00:00 Founding Koniq: A New Era in AEC Software03:03 The Future of AEC Software: Insights and Innovations05:58 Challenges in the AEC Industry: Software Limitations08:55 Interoperability and Collaboration: Bridging the Gaps12:00 Koniq's Unique Approach: Transforming Design and Construction14:46 The Role of Koniq in the AEC Landscape17:59 Market Positioning: Koniq's Strategy and Vision20:59 The Future of AEC Tools: Collaboration vs. Monopolization24:01 Koniq's Value Proposition: Cost Efficiency and Innovation27:04 The Impact of AI on AEC Software29:57 Looking Ahead: The Future of Koniq and AEC Software39:00 The Role of AI in Architecture45:02 Modern Architect Needs and Software Solutions52:01 Understanding the Customer Base55:55 Innovative Pricing Models and ROI01:02:02 Bootstrapping and Go-to-Market Strategies
Unicorns, Coast's $40M Raise, and $34 Billion in Construction Tech Funding - Why Headcount Growth Might Be Misleading
Construction tech funding is booming, but is it all hype?
In this episode of Bricks, Bucks and Bytes, we learned about Coast's impressive $40 million Series B raise for their financial services platform in transportation.
We also got insights on the surprising growth in construction tech funding, reaching 0.53% of total venture capital.
Plus, we heard a critical take on using headcount growth as a measure of startup success.
Tune in to find out about:
✅ Why Coast is attracting big investment
✅ The unexpected trends in construction tech funding
✅ Why unicorns in the sector are both rising and falling
✅ What really matters when evaluating startups (it's not just numbers)
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Company Mentioned
Coast
Brex
Veev
Nexii
Autodesk
Trimble
FlashTrack
Procore
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Timestamps
00:00 Intro
00:32 Introduction to Coast: Financial Services Platform for Transportation
06:12 Coast's Funding and Investors
10:23 Assessing the Viability of Coast's Target Market
13:42 Analysis of Coast's Funding Rounds and Revenue Growth
18:07 Discussion on Investor Perceptions and Series B Funding
19:09 Market News: ConstruTech Funding Landscape
23:21 Analysis of Funding Trends in ConstruTech
27:45 Hype and Funding Rounds in Construction Technology
32:18 The Growth of Highly Substantiated Companies
36:26 The Asian Market and Funding Rounds
37:25 The Changing Landscape of Exits
41:41 Headcount Growth as a Metric for Startup Evaluation
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Bricks, Buck$ And Bytes
Fencing - The Hidden Gold Mine in Construction Tech & Nexii's Surprising Comeback
Is the fencing industry secretly one of the most profitable sectors in construction?
In this episode of Bricks, Bucks and Bytes, we learned about EverFence's $7.7 million Series A funding, showing strong interest in the fencing market.
We also discussed Nexii's attempt to relaunch after going into liquidation, highlighting the challenges in offsite modular construction.\
Plus, we got candid insights from Patric on why advice from generalist VCs might be hurting construction tech startups.
Tune in to find out:
✅ Why fencing companies can see up to 200% profit margins
✅ The pros and cons of asset-heavy vs. asset-light models in construction
✅ How bad VC advice is affecting construction tech startups
✅ Why founders should be wary of VCs who can't admit what they don't know
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Company Mentioned:
EverFence
Ergion
Nexii
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Bricks, Buck$ And Bytes
GUEST: Holobuilder’s Path To $34m Exit, Mo Akbari’s Journey Building The Pioneering Reality Capture Tool
Ever wonder how a startup goes from $8M to a big exit in construction tech?
In this episode of Bricks, Bucks and Bytes, we learned about HoloBuilder's journey from raising $8M to being acquired by Faro.
We also found out that despite big investments, the reality capture market still has room to grow. Companies like Cupix and Faro are leading, but there's space for new ideas in robotics and AI.
Plus, we got insights on how some VCs are betting on AI startups, hoping to find the next big winner.
Tune in to discover:
✅ Why job site pizza beats expensive marketing in construction tech
✅ The potential of scan-to-BIM technology
✅ How some AI startups raise millions with just a pitch deck
✅ Why product adoption matters more than fancy tech in construction
Listen to the full episode on Spotify to learn more about construction tech and startup funding strategies.
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Company Mentioned:
Faro
Frankfurt Airport
Siemens
Autodesk
Contilio
Disperse
OpenSpace
Cupix
Doxel
HoloBuilder
Matterport
Hansel Phelps
Buildots
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Timestamps
00:00 Introduction and Overview
01:09 The Journey of HoloBuilder: From Manufacturing to Construction
08:41 The Go-to-Market Strategy of HoloBuilder
14:20 The Decision to Exit HoloBuilder
23:15 The Three Components of Reality Capture in Construction Tech
28:03 Competition in the Reality Capture Space
35:18 Success Factors in Reality Capture Solutions
39:56 The Evolving Reality Capture Market and Market Leaders
41:33 Funding Challenges and Valuation Drops in Construction Tech
45:26 The Importance of Adoption and User Engagement in Construction Tech
57:34 Niche Markets and Disrupting Workflows in Construction Tech
01:09:43 Building Strong Customer Relationships in the Construction Tech Industry
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Bricks, Buck$ And Bytes
€5.7M VC Bet To Retrofit Europe’s Housing Stock, "Pay What You Want" models and Nemetschek to India - Bricks, Bucks & Bytes
Could a "Cloud Installer" approach help insulate 30 million European homes faster?
In this episode of Bricks, Bucks and Bytes, we learned about Varm's €5.7M seed round for their innovative insulation business. They're using a "Cloud Installer" approach to scale across Europe.
We also discussed Nemetschek Group entering India's construction software market, starting with university partnerships.
Plus, Patric Hellermann shared why he's excited about Varm and his thoughts on "pay what you want" pricing for software.
Tune in to find out about:
✅ How insulation can cut energy costs by up to 40%
✅ Challenges of selling €2,500 software licenses in India
✅ Varm's plan to train and equip local insulation businesses
✅ Why "pay what you want" pricing might not work for high R&D software
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Sign up to the #1 Newsletter In Construction Tech. Join over 1,000 like-minded Founders, Investors and Techies disrupting the way we build. Forever : https://bricks-bytes.beehiiv.com/subscribe
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Youtube: https://www.youtube.com/channel/UCmNbunUTIIQDzbJgGJt9_Zg
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Companies Mentioned :
Foundamental
VARM
Koala Insulation
Enpal
Thermondo
1.5 degrees
Service Titan
Autodesk
Bentley
Hexagon
Nemechek Group
Trimble
Rayon
AOPropTech
Emerge
Pale Blue Dot
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Timestamps:
00:00 Introduction and Funding Round
02:32 Varm's Focus on Insulating Existing Buildings
05:41 Cloud Installer: Varm's Business Model
10:09 Blow-In Insulation: A High ROI Measure
28:06 Introduction to Nemechek Group's Expansion into India
31:59 The Potential of the Indian AEC Software Market
36:26 Challenges of Pricing Models in the Indian Market