Since Verusen minted its $8 million Series A in January 2021, supply chain stressors have continued to be top of mind for consumers and manufacturers alike.
While the Atlanta-based startup got off the ground to streamline operations on the indirect materials and maintenance repair operations side, founder Paul Noble told Hypepotamus that “market demand, our customer pull, and prospect pull” kept asking for a solution in the direct materials space. (Think management of “water and hops into beer or parts into a car,” added Noble.)
The team just raised a $25 million Series B to enter that space and expand hiring.
The $25 million round was led by Scale Venture Partners. Glasswing Ventures, Flyover Capital, Zetta Venture Partners, Forte Ventures, BMW i Ventures, and Kubera VC — all current investors — also joined the round.
Noble told Hypepotamus that Scale was the right partner for the moment given its “proven track record of scaling enterprise SaaS businesses across various verticals.”
Verusen had built up a relationship with Scale starting back in 2019, and since then the need for better supply chain management solutions has only grown.
“Fundraising isn’t a moment in time, per se. Over the years we’ve continued to build relationships…I think we had our first meeting with [Scale Ventures] back in 2019.”
Large clients to date include Graphic Packaging International, The Southern Company, and “dozens of Fortune 500 companies.” The team says it has provided an average of 15-20% working capital savings to its Fortune 500 customers.
“Verusen’s platform has helped accelerate our ‘One Supply Chain’ initiative and is the most sustainable solution we have found in the market, helping reduce working capital, mitigate risks, and drive resiliency,” added Johnny Howze, Vice President, Supply Chain Management for Southern Company, in a statement.
Verusen is entering 2022 with fresh funding round and a workforce of over 60 employees. Noble said most hiring since the Series A round focused on engineering, data science, and product.
As Verusen enters into the direct materials space, Noble said the team plans to grow to over 100 if not “truly double.”
“There are plenty of technology gaps in the supply chain space we can fill,” added Noble. “We don’t want to be duplicative of solutions that our customers currently have, but we want to be the brain that can connect the supply chain stack, fill gaps, and improve experiences.”