Constrafor, an invoice and contract management SaaS platform built for the construction industry, has raised over $100m for its seed round.
The exact size of the investment was not declared, but the round comprised both debt and equity. The equity was supplied by Fintech Collective, Village Global, Clocktower Technology Ventures, Commerce Venture and tech founders from Ramp, Uber and Paxos. The debt came from CoVenture.
It will use the funds to build new functionality and expand its subcontractor invoice finance offering, Early Pay Program (EPP).
Constrafor was built to alleviate the pain point many firms in the construction industry face, slow payments. Its platform offers streamlined documentation and information exchange, as well as financing to thousands of contractors through its EPP service.
The EPP tool lets subcontractors get paid for their approved invoices within 24 to 48 hours, boosting cash flows and combating costly traditional loans.
Constrafor founder and CEO Anwar Ghauche said, “Construction is facing multiple challenges from higher material costs to a looming credit crunch that will exacerbate the project delays we’re seeing across the country.
“We are proud of the positive impact we’re already having on our customers and are excited to see what these builders will achieve with our financial backing. This financing will allow us to reach more contractors as we tackle the biggest challenge in the construction industry.”
FinTech Collective recently joined the $43m Series A funding round of German buy now, pay later platform Mondu and the $12m funding round of UAE-based spend management service Pemo.
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