Remato, an Estonian tech startup that aims to make frontline construction management seamless, is announcing an approx. €1.4 million seed investment round, led by London-based Passion Capital.
Additional investors in the financing round include founders and early team members of Pipedrive, along with venture funds Superangel, Lemonade Stand, Spring Capital, and Kaamos Group, a long-standing property developer and general contractor in the region. The new investment brings Remato’s total funding up to around €2.1 million.
Eileen Burbidge, Partner at Passion Capital, said: “We’re very excited to be working with Remato. Their traction to date clearly validates the need for digital user experiences and platforms for the massive construction sector, which comprises 10% of the global economy. We look forward to supporting the team’s ambitions in the UK, across the rest of Europe, and North America.”
Founded in 2018, the company is streamlining the construction sector’s transition from analog to digital. What publicly-listed Procore (NYSE: PCOR) is for large general contractors, Remato is for the subcontractor SMBs who are responsible for 95% of the work on-site and represent 80% of the overall global construction market. The Remato-developed software enables field contractors to easily plan and manage budgets, labor, materials, and equipment all in one app, which serves as a single source of truth. The software provides superior situational awareness by enabling real-time collaboration for offices, field crews, and client representatives.
There are millions of construction SMBs in Europe and the Americas, all of whom face universal challenges in terms of performance, administration, and deadlines. Most of them are still largely under-digitized or deploy fragmented software for specific tasks. This presents an enormous productivity increase potential for the industry, measured at around €1.3 trillion, leaving room for thousands of construction tech unicorns driving the change.
Developed by a team with global tech background in companies like Wise, Booking.com and Glia, Remato is growing steadily at 10-15% MoM. The Remato platform is attracting the global construction industry with a mobile-first user experience that focuses on ease of use.
Co-founder and CEO Madis Lehtmets commented: “The construction industry needs simplicity and modern design to achieve the mass adoption of software. We believe that user experience should be much more of a priority, as frontline adoption depends on it. It helps the traditionally low-tech industry to go fully digital.”
Remato currently has hundreds of companies as customers in the Nordics and Baltics. This new investment round has catalysed the company’s efforts towards the vast UK construction market of 2.7 million employees. With a UK-based industry growth manager, Simon Gibbons, on board as an advisor, Remato is progressing towards 2-3 times growth by the end of the year. As the platform grows, the founding team envisions a marketplace for its customers for collaboration, bidding, and leasing of labour, materials, and equipment.