BuildingConnected, a bid procurement platform for the building industry, has raised $22 million in a series B round of funding led by Lightspeed Venture Partners, with participation from existing investors, including Crosslink Capital, Homebrew, Freestyle, Bee Partners, and Brick & Mortar.
Founded out of San Francisco in 2012, BuildingConnected wants to streamline the pre-construction phase of building work by providing software for owners and contractors that helps them procure bids, qualify vendors, and more. The platform offers subcontractors a CRM to consolidate all their bids in one place, keep track of their status, and monitor which estimator is working on each bid. It also integrates with third-party calendar apps to help managers keep on top of appointments and due dates.
Prior to now, BuldingConnected had raised around $15 million, and with its latest cash influx it plans to hire new talent and scale the company.
The global construction market is estimated to be worth around $10 trillion, however, the building industry isn’t renowned for its efficiency, with some reports suggesting that the sector is among the lowest in terms of productivity. Lack of digitization is one reason the industry tends to lag, which is where BuildingConnected comes in. The startup wants to play its part in modernizing the industry by offering a network that connects thousands of U.S. construction professionals and helps them “get project bids done quickly, accurately, and with ease.”
“This round of funding from top tier investors confirms our thesis that commercial construction stands to benefit from the efficiencies we create at BuildingConnected,” noted BuildingConnected founder and CEO Dustin DeVan. “We’ve already seen billions of dollars in projects move across our platform, and we continue to sign up customers at an exciting rate.”
Though it may be late to the table, the building sector is gradually being digitized on multiple fronts. Last month, Netscape creator Jim Clark launched CommandScape, which he touts as a “state of the art” building management system for premium residential and commercial buildings. Elsewhere, Zillow recently acquired New Home Feed to help builders market new properties.
Other notable players in the construction management software space include Procore, which has raised around $180 million in VC cash.