Buildstock, innovating at the intersection of AI, fintech, and the construction materials marketplace, has successfully secures $1.6M in pre-seed funding.
Supported by Precursor, MGV, XFactor, RefashionD, and prominent angel investors, the platform is ready to improve interactions between builders and suppliers, leveraging AI and fintech to streamline processes and enhance efficiency.
This investment drives Buildstock forward in addressing the construction industry's pressing issues, such as the significant financial losses due to late payments, which surged by 53% to $208 billion in 2022.
Notably, Buildstock’s AI-enhanced platform offers procurement efficiency, promising up to 40% savings on materials and quintupling lead times.
Its AI capabilities extend to automatic supply list creation from blueprints, ensuring that builders can rapidly access the materials they need with full transparency on delivery timelines.
Jim Barrett, Chief Innovation Officer at Turner Construction, recognizes Buildstock's role in pioneering digital transformation within construction.
"By integrating AI with a digital marketplace and flexible financing, Buildstock is set to overhaul traditional procurement methods," Barrett commented.
Suppliers benefit from Buildstock's approach to financial transactions, which shortens the typical payment waiting period from 90 to 120 days to just five days post-delivery.
This is a key aspect of Buildstock's strategy to improve the cash flow and operational efficiency of its suppliers through AI and fintech innovations.
Kathryn Thiele AIA, Founder and CEO of Buildstock, highlights the transformative impact of the platform.
"Our AI-driven solutions are designed to make construction projects faster, more economical, and transparent, setting a new standard for the industry," Thiele stated.
Additionally, with its early success in the New York tri-state area and status as a minority & women-owned business, Buildstock is ideally set for nationwide growth. Its significance is amplified by New York's requirement for M/WBE contracts, showcasing its capability to impact major construction projects.
Charles Hudson, Founder & Managing Partner at Precursor Ventures, lauds Buildstock for its innovative approach.
"Buildstock is at the forefront of digital innovation in construction, unlocking significant efficiencies with its AI-powered platform," Hudson noted, praising the team's market impact.
Conclusion
With its latest investment, Buildstock is poised to transform the construction materials market using AI and fintech.
The platform's focus on streamlining procurement and speeding up payments addresses longstanding challenges, aiming for a more streamlined, clear operation for all parties involved.
