French Financial Management Saas Graneet raises €8M in Series A to help construction SMBs manage their projects more efficiently

Article Date
April 11, 2023

I’ve been following Jean-Gabriel since the beginning of his venture; before the inception of the company, when he started his first market discovery, and I have always been amazed by his drive and the rapid iteration he made with his founding team - Enzo and Raphael, 2 brillant guys who are leading respectively the product and tech side of the company- to find the relevant product market-fit. This team shows grit, vision and quality of execution.

We had the opportunity to invest as followers in Graneet’s series A and we are more than excited to support JG and his team, and bring them to the next level.

At Axeleo Proptech 1, we truly believe that SMBs in the construction industry are way under-digitized and thus need to benefit from more efficient and user-friendly tools, just like Graneet’s ready-to-use software.

Indeed, construction companies of this size have not yet taken the digital shift. Today, nearly 50% of the construction SMBs still uses Excel sheets to manage their activities ! The most digitized ones cope with “on premise” solutions with poor UX, hours of professional services, time-consuming and costly onboarding, without any mobile feature. There is thus a strong need for a convenient collaborative software. Graneet perfectly adresses this pain point with the right positioning and perspective.

There are two different ways to address the issue of construction project management and reach the ultimate goal of becoming the OS for the construction SMBs. One the one hand, it could be tackled by adopting a tool focusing on “On site collaboration” with some features like project management, work tracking, HR onboarding… This is the product vision and strategy developed by players like Remato, Planradar or Fieldwire. On the other hand, one can develop a financial and admin. platform - as Graneet does it - and then deal with HR and communication issues in the longer term (internally or through specific partnerships).

We think this latter strategy is really interesting and that it comes with an easier/quicker access to market. With more financial insights, SMBs could definitely expect more efficient and tangible gains. This can create a real trigger for an investment, specifically in economic turmoil.

This is precisely the path that Graneet has chosen to take, with its financial management SaaS tailored for construction and powered by unique features :

  • Costing & Quotations
  • Invoicing & cash collection
  • Financial analytics (margin, expenses)

Plus, like most of today’s softwares, Graneet through its open API, is perfectly integrated with CRM, finance and accounting providers.

This allows the multiple stakeholders involved in construction projects to manage the well-known complexity of on-site works.  Moreover the construction industry is full of legal and administrative constraints- their management thus remains a huge pain point and 2 times in a row a tremendous opportunity for Graneet. Its technical stack does it perfectly well, and this is good news for the whole industry.

Our investment decision was also motivated by the company’s high potential for product-led growth and ambitious product roadmap.

A solution like Graneet has a strong network effect leading other players in the value chain to use it. Indeed, think about a company in the middle of the value chain that has to carry out works. To do so, both the client and subcontractors need to be involved and some information needs to go back and forth through the value chain, from the initial quotation all the way to the monitoring of the profitability of the project.

As a result :

  • Subcontractors become very easy to manage thanks to Graneet
  • These subcontractors will have a free access to the dashboard and will thus be incentivized to use the OS to report on the progress of the project. They’ll then become natural prospects.

Graneet has the vision the build the OS for all SMBs from the construction sector, with a very clear product strategy :

  • to make the prospect’s journey more fluid from the quotation phase onwards (automation of emails, reminders and so on…)
  • to provide a solution to manage the financial and administrative part of a project (factoring management on the software directly, expense management)
  • to develop the ability to connect to third-party tools used in construction : purchasing softwares, on-site collaboration & accounting tools …

We’re more than happy to join the journey and help you to tackle these next milestones. With this fundraising, Graneet will be able to further its development and establish itself in other countries with regulations similar to those in France, in order to leverage its strong expertise.

Congratulations to the whole Graneet team for building such a solution to reduce complexity in construction projects !