The funding was led by Climate Tech VC Systemiq Capital and includes an impressive group of investors across the construction industry and technology.
Qflow, a digital platform enabling construction teams to collect real-time materials and waste data at the source, enabling project teams to make informed decisions on cost, carbon and quality, is already working with Canary Wharf Group, Berkeley Group, Multiplex, and more, with the funding helping to scale Qflow’s operations in the UK and grow its presence in the US and Australia.
“Jade and I love the construction industry; it literally builds the world around us. But for it to build the sustainable future we need it must change and reduce its negative impacts on our planet. To us, it was clear we had to tackle our own industry to have a chance of leaving this world in a better place, and this is why we founded Qflow. We are thrilled with the investors that have joined us in this round. The support we’ve received from big players in the sector shows they also see the importance of changing processes and accelerating this transformation towards a more sustainable future.”Brittany Harris, Co-Founder & CEO, Qflow
The climate-focussed company has previously raised £2.4m across two seed rounds, with investment from PiLabs, MMC, Goldacre, Entrepreneur First (EF London 10) and angel investors.
Amongst the investors for Qflow’s Series A are Ascension Ventures, Bridge Investment Group, Gravel Rd, Greensoil Proptech Ventures, Grosvenor, John Emrey; CEO of Alder properties and former CEO of Lendlease; MMC, and Suffolk Tech.
“Qflow uniquely aligns the goals of construction CFOs and sustainability executives, accelerating customers’ decarbonisation ambitions while saving them time, money and reducing regulatory risk. We are leading their Series A, at a time when most VCs are scaling back their activities, to accelerate and capitalise on this unique opportunity and critical mission. Further commitment from real estate and construction heavyweights Grosvenor, Bridge Investment Group, and others is a testament to the value of Qflow’s solution and the work they are doing to transform the industry.”Matthew Goldstein, General Partner, Systemiq Capital
According to Qflow, construction is the world’s most carbon-intensive industry, accounting for 11% of global carbon emissions.
This is largely to do with the linear way it extracts, refines, transports, builds with, demolishes and disposes of materials. To decarbonise construction, there is a need to turn this linear approach into a circular one.
“We’re excited to support the solution Qflow provides. As a vertically integrated owner-operator, our in-house team quickly understood Qflow’s value proposition. The ability to efficiently incorporate this solution into our business makes this partnership dynamic and strategic.”Jeremy Ford, Chief Investment Officer, Bridge Ventures and Managing Director, Bridge Investment Group
Increased regulation and contractual requirements mean developers and contractors are now required to track, manage and report on their own carbon outputs and material safety, as well as that of their supply chain, to a much higher degree.
“We’re delighted to collaborate with the Qflow team both as an investor and as a customer. We see real potential in what this technology can do for the construction sector – it makes the management of deliveries and waste much easier for our onsite teams and provides greater accuracy and accountability, in our environmental reporting. To create circular supply chains in construction, we must be able to reliably account for what happens with construction waste – Qflow provides this clarity.”Andy Doyle, Innovation Director, Grosvenor Property UK
Currently, construction teams rely on the manual collection of thousands of paper tickets from hundreds of suppliers and sub-contractors during construction contracts.
With the funding, Qflow are hoping to help change how the system works so that it is more efficient, sustainable, less mistake prone and more stream-lined for construction teams.
Earlier in the month, KPMG released their 2023 Global Construction Survey, which found that the construction industry is remaining optimistic despite the challenges it has faced, such as continued supply chain disruption, rising inflation and a possible recession.