Handle.com, the software platform for construction payment compliance, closed $10 million in Series A funding led by Energize Ventures and Ironspring Ventures. To build on escalating customer interest, Handle will leverage this funding to expand its support, engineering and sales teams across the country.
In the first eight months of 2021, construction spending reached $1 trillion, a 7% increase from the same period in 2020. This growth, coupled with the pandemic, has put significant pressure on the construction industry, magnifying underlying cracks that have plagued businesses for decades. One of the biggest bottlenecks affecting the construction industry today is slow, complex payment processes.
As one of the sectors expected to see a ripple effect as a result of the bipartisan infrastructure bill, construction currently faces dramatically rising Day Sales Outstanding (DSOs). From 2020 to 2021, DSOs have increased by two weeks, from 24 to 38 days. With Handle’s platform, companies can substantially reduce DSOs across organizations by speeding up payments and efficiency throughout credit departments, the company said.
“Handle is solving one of the most critical and complex workflows in construction: payments,” said Handle CEO Patrick Hogan, who grew up in a lumber business family. “It all starts with protecting your payment and lien rights. Handle simplifies this process for companies across all parties involved in construction projects.”
Backed by Y Combinator, Handle already has some of the largest names in construction as customers, including publicly traded and Fortune 500 companies such as CRH/Oldcastle, U.S. Concrete and more.
