Despite a broader tech downturn, the construction tech space saw $1.3B in investment from venture capital and private equity investors in H1’22, a 44% increase from the activity witnessed in H2’21. While Q3’21 numbers have yet to be published, the figures point to continued high-level demand for digital solutions across the construction industry. On a similar trajectory, the legal tech space saw a record year of funding at over $1B in 2021.
While not often thought of in the same breath, our latest portfolio company is encapsulating the momentum of both the construction and legal tech fields. Ironspring Ventures is proud to announce we have partnered with Atlanta, Georgia-based Document Crunch, by investing $2M into the company's Series Seed round of funding to accelerate its construction contract intelligence platform.
Ironspring Ventures is joined by lead investor Zacua Ventures as well as other participating investors including Fifth Wall, Argonautic Ventures, the GTM Fund, and more.
As mentioned above, Document Crunch is building a contract intelligence platform for the construction industry, a sector often plagued by legal risks, bottlenecks, complications, and paperwork. Specifically, the company’s platform simplifies construction contracts by quickly identifying critical risk provisions and provides teams with guidance to make great decisions throughout the entire project lifecycle. Document Crunch has made headlines in the space over the last year, winning several awards including the CEMEX Ventures Construction Startup Competition hosted at BuiltWorlds' Venture East Conference in Miami in 2021.
In recent news, Document Crunch has partnered with major insurance company AXA XL as well as electrical construction research provider ELECTRI International to offer data analytics and benchmarking to customers, with the goal of bringing greater transparency to construction contracts.
“Document Crunch is the first artificial intelligence tool in the construction industry that provides transparency regarding what we believe are the critical risks in important project documents … Not only does this save time and money, it helps users identify and contextualize potentially catastrophic issues.”- Josh Levy, CEO and Co-Founder of Document Crunch.
Beyond current tailwinds across both construction tech and legal tech, construction litigation can cost up to 20% of a total project’s cost, according to some estimates – providing a major opportunity for new tools and strategies to save capital. Josh and his team have impressed us with their ability to quickly execute, win customers, and establish their name as a leading AI-driven provider of construction legal analysis. We can’t wait to see what the team does next!
Document Crunch website: https://www.documentcrunch.com/index.php
Document Crunch Hiring: https://www.documentcrunch.com/careers.php
Press Release: https://www.prnewswire.com/news-releases/document-crunch-takes-additional-strategic-investment-to-fuel-growth-and-expand-its-offering-to-include-key-data-benchmarking-partnerships-301645323.html