MIAMI, May 18, 2021 /PRNewswire/ -- Flexbase, the automated payment platform for contractors and the construction industry that delivers faster and more efficient payments, today announced the closing of a $2.5 Million pre-seed fundraising round following a year of explosive growth amid a sharp uptick in the construction sector. The round comes from investors Hustle Fund, Suffolk Technologies, Equipment Share, Romulus Capital, Chapter One, Banana Capital, Social Starts, Great Oaks Venture Capital, and Sriram Krishnan.
The company intends to use the funds to support the platform's continued growth and innovation, and to expand the size of its workforce.
Launched in October of 2020, Flexbase is a construction technology company that helps SMB general contractors and specialty contractors better manage billing-related processes. For decades, the construction industry has operated under an unspoken expectation that bills wouldn't be reconciled and paid out for at least 100 days. Ten Million construction workers in the U.S. are reliant upon this unpredictable cycle. Flexbase relieves contractors and construction companies of these burdensome cash flow restrictions with its free to use software, which expedites payouts.
Custom discounts negotiated at scale and automated legal actions further shorten collection periods. Partnerships with 85+ lenders and one-click working capital for faster access to funds add to the rethinking and revolutionizing of construction cash-flow offered by Flexbase. The holistic approach to construction cash flow management combines these efficiencies into an impressive package of financial assistance and time savings.
"At Suffolk Technologies, we know all too well how challenging it can be for many contractors to get paid on time. Flexbase presented us with an easy-to-understand, compelling vision for a better payments system, and we were delighted to work with them in our Boost program," said Investment Director Raja Ghawi. "The opportunity in construction technology broadly, and construction financial technology specifically, is massive. Flexbase is very well positioned to help contractors across the industry spend less time managing cashflows and more time doing the work they love to do."
The free platform saves construction companies thousands of dollars each month, and frees up dozens of hours that are otherwise spent reconciling and categorizing invoices. No subscriptions or licenses are required, and implementing Flexbase is incredibly easy. The automated payment system integrates seamlessly with all of the software tools (Quickbooks, Xero, Zapier, Sage, etc.) that contractors already use.
The construction fintech company was founded by Zaid Rahman, a Thiel Fellow and co-founder of the Miami VC Angel community group 305 Ventures, and Hadi Solh, a former McKinsey/Goldman Sachs executive.
"The response to Flexbase in only a short period of time has been overwhelmingly positive and extremely gratifying," said Rahman. "We knew how much money construction companies make - along with the pain points of how much they have to borrow along the way. With the closing of this investment round, we can continue to help companies take back control of their time and accounting, and break the cycle of borrowed cash flow."
For more information, visit the company's website at Flexbase.app.
Flexbase helps construction businesses get paid faster and more efficiently. Through automation and smart technology, Flexbase reduces the time it takes to get paid through customized discounts and negotiation terms, as well as intelligent reminder systems. The company is revolutionizing construction cashflow by providing one-click working capital to eliminate expense tracking and reconciliation.