In a bid to transform the way enterprises handle procurement processes, Levelpath, a software-as-a-service (SaaS) platform, has raised $30 million in a Series A funding round led by Redpoint. This follows a $14.5 million seed round and brings the total raised by the startup to $44.5 million. The company aims to address the pain points experienced by businesses in managing procurement, including lack of transparency, data silos, and time inefficiencies.
Key Takeaway
Levelpath, a procurement management platform, has secured $30 million in Series A funding to revolutionize the way enterprises handle procurement processes. The platform offers a mobile-first interface, customized approval workflows, and AI-powered actionable insights. With a focus on the end-user experience, Levelpath aims to make procurement delightful while maximizing efficiency and cost savings for businesses.
A Solution Born Out of Challenges
Levelpath was founded by Stan Garber and Alex Yakubovich, who previously launched Scout RFP, a cloud-based sourcing solution that was acquired by Workday. While at Workday, Garber and Yakubovich encountered significant obstacles in business procurement, with tasks such as budget approvals, vendor selection, and contract signings proving to be time-consuming and inefficient.
Recognizing the need for a more streamlined and user-friendly solution, Levelpath was created to provide enterprises with a procurement management platform that offers an enjoyable experience while maximizing adoption and enhancing overall efficiency.
Addressing the Procurement Challenges
According to a Harvard Business Review study, approximately 60% of business leaders perceive a lack of transparency in finance and procurement functions as a risk to their organizations. Data quality and governance are often major roadblocks for procurement teams, hindering their ability to gain visibility into procurement processes.
Levelpath aims to tackle these challenges by offering a mobile-first interface that is easy to use, customizable for each company’s approval workflows, and provides actionable insights through AI algorithms. The platform helps businesses consolidate and restructure services by identifying vendor redundancy and suggesting alternative options that meet their criteria.
With a focus on the end-user experience, Levelpath has already gained traction in the market, attracting enterprise customers such as Ace Hardware, Qualtrics, and Innovacare.
Looking Towards the Future
With the recent funding, Levelpath plans to double its staff size and invest in product development and research. The company intends to commence a broader go-to-market strategy in 2024, capitalizing on the growing demand for procurement solutions in the market.
