Extracker, the construction industry's only change order communication platform, which digitizes manual workflows and creates financial transparency between construction stakeholders, has raised $7 million in an oversubscribed Series A.
Leading the round is Cloud Apps Capital Partners, joined by the construction tech veterans at Building Ventures, and follow-on investment from Jackson Square Ventures who led the Seed round in June 2021. Joining the board are Andy Stinnes, general partner at Cloud Apps Capital Partners, and Jesse Devitte, co-founder and general partner at Building Ventures.
Stinnes, who led the investment round, has seen this network model first hand. Even in the challenging investment environment, he sees an exceptional opportunity in the construction technology SaaS platform. "Extracker can emerge as an industry utility in global construction, connecting all the players as the backbone for modern, mobile collaboration to unlock over $20 billion in shared value. We have personally seen this very model play out in both the supply chain and B2B payments markets and know how incredibly valuable and irreplaceable such Industry Utility SaaS companies will become."
Allen Preger, Building Ventures Partner and construction technology veteran, understands the issue and opportunity after years solving construction workflows as co-founder at Newforma. "Change orders can make or break a project and put at risk the trust between contractors, owners, designers and subs. Extracker promotes a collaborative versus combative approach to change management; and has demonstrated it can sell and deliver tangible value to each stakeholder in the process. We're excited to back Cameron and the Extracker team, and we can't wait to see where they take it from here."
Technology trends such as 3D design are reshaping the future of construction. With a shift towards faster, more iterative project delivery, the industry is at its breaking point with the current tools available including paper, spreadsheets, email and siloed financial software suites. The industry is still tracking 99% of over $150 billion in project Change Orders on paper, email and static spreadsheets, and Extracker is already addressing a massive pain point in commercial construction. Since its inception, they have helped contractors efficiently process and eliminate surprise costs on over $2.2 billion in Change Orders and T&M Tickets.
Regardless of what financial software a Specialty Contractor, General Contractor or Owner is using internally, Extracker keeps everyone on the same page in real-time. Using their cloud-based COR Log, Subcontractors can send CORs and have them instantly appear in their General Contractor's account. Contractors now have a shared source of truth to ensure their internal forecasts align with their project partners. Extracker customers are experiencing the benefits of a centralized platform for tracking Change Orders between all project stakeholders and as a result see upwards of 95% faster time to process and close out extra work.
Over the past year, they have doubled their paying customers and are proud to have built a platform that supports construction companies of all sizes and across every single trade vertical, including industry leaders like: BrandSafway (scaffolding), Conco (concrete), Performance Contracting Group (drywall), Permasteelisa (glass and glazing), NOVO (general contracting), and BuildGroup (general contracting).
At Extracker, we are finding innovative ways to better equip our customers with the tools they need. With this new round of funding, we are expanding our integrations to the industry's most popular project management and accounting systems like Procore, CMiC and Sage, which seamlessly sync CORs and T&M Tags into all stakeholders' systems-of-record. Given the speed and accuracy of Change Order information being collected in our platform, we are excited about the powerful reporting and analytics engine that will harness never-before-captured data our industry leading customers are collecting about their projects."
Cameron Page, founder and CEO of Extracker
Extracker's mission is to create financial transparency between commercial construction companies by reducing exposed risk and time spent tracking extra work. This is done through the industry's only Change Order Communication Platform, which supercharges extremely manual workflows and connects companies outside of their internal financial software to resolve Change Orders in real-time. Along with a collaborative cloud-based log, Extracker includes digital Time and Material Tags, standardized Change Order Templates, trackable Change Notifications, and more, to organize and streamline the process. Extracker is backed by leading enterprise application and construction technology investors Cloud Apps Capital Partners, Building Ventures, and Jackson Square Ventures.