Doubling Down on Digital Industrial Innovation: Ironspring Ventures $100M Fund II

Today, we announce $100M in new funds to continue partnering with early-stage founders who are creating change and catalyzing innovation across the industrial supply chain. 

There’s never been a better time to invest in these critical industrial industries. This infusion of new capital will fuel our conviction and our ability to back the entrepreneurs and teams who are revolutionizing the way we design, build, distribute, and operate in the physical world.

Why Now

We’re facing exorbitant material prices, skilled labor shortages, infrastructure stagnation, supply chain stalls, and clunky legacy operating systems. Solving these challenges means tapping into the potential of digital industrial innovation:

  • It means augmenting the human element of the workforce with intelligent automation and AI-enabled tools to create a more inclusive, diverse, and powerful manufacturing industry 
  • It means modernizing software stacks to empower the nearshoring movement and rise in US-Mexico cross-border freight 
  • It means creating more resiliency and transparency in the global supply chain to deal with rising geopolitical tensions
  • It means leveraging software and hardware solutions to drive more productivity and sustainability in the highly fragmented construction market 
  • It means expanding the ways we produce, store, and use energy 
  • It means equipping legacy industries with everything they need to thrive and compete in the decades to come 

These are massive problems to solve that require talented people, innovative technology, and significant capital investments to develop solutions. These challenges also present massive opportunities. Our decades of expertise come from the worlds of both venture investing and industrial operating, and with Fund I, we proved GP-market fit. We are uniquely positioned to understand the headwinds impacting our focus industries and evaluate the world-class founders motivated to tackle the issues facing them.

We wouldn’t be here today without acknowledging how far we’ve come and the highly differentiated network of supporters who define our unique value-add. We founded Ironspring Ventures in 2020 on a mission to build an enduring, sector-focused venture capital fund that serves as a central hub of digital industrial innovation. Our founding team has a long history with industrial technologies and deep roots in the Texas economy, which led us to found the firm in Austin, TX and that’s why we’re proud to continue to be based here today. At the time, few people were using the term ‘digital industrial innovation,’ and there was much less deployable capital focused on the areas we have deep expertise in and invest in – manufacturing, construction, transport & logistics, and alternative energy. Today, the market has evolved and we welcome it – the capital markets have matured seeing strong returns posted in these sectors, growth capital has taken notice of the great potential of the businesses we invested in early on, and we continue to see a flood of incredible talent launching new businesses to go after massive markets. We passionately believe in this work, we’re here to create institutional change, and with Fund II, it’s full speed ahead.

What’s New With Fund II

With Fund II, we’re simply doubling down on our investment thesis, a proven fund construction strategy aligned to our AUM, and on the network effect momentum we’ve built since launching Fund I. We’ll maintain our same sector focus, seed investment stage, and a disciplined fund construction strategy – because it worked. Over the past three years with our $61M Fund I, we invested in 16 portfolio companies, secured top-tier co-investors and follow-on capital, and most importantly, delivered clear value for our founder community.

With the launch of Fund II, we’re also announcing four of our investments:  

  • GoodShipGoodShip is a collaborative, AI-enabled freight orchestration platform that is closing the gap between freight procurement and operations. GoodShip’s team, premier shipping customers, early partnerships, and rapidly developed platform all reflect both deep roots in freight and, consequently, an even deeper understanding of what transportation procurement products enterprise supply chains need to create resilience and thrive in a post-pandemic world. GoodShip’s fast commercial progress has already enabled the company to secure additional funding after we led the Seed round. 
  • Base Power – Base Power is building the modern power company of the electric era. Ironspring Ventures and Base Power are both proudly headquartered in Texas, the energy capital of the country for both traditional and renewable energy. Base Power caters to the Texan spirit of independence – independence from the grid, independence from any single energy source, and independence from traditional business models.
  • Wilya (FKA Gig and Take) – Wilya is enabling factories to manage existing workers and create pools of on-demand, flexible talent, helping operators find the right worker for the right job at the right time. As many industrial businesses confront drastic labor shortages at the same time government dollars are boosting manufacturing in the US, we believe Wilya’s platform will help manufacturers unlock untapped potential within their operations. Led by a team of HR and technology experts with depth in manufacturing, Wilya is poised to build off its significant market traction across specialty manufacturers in regulated industries, and we were thrilled to lead the company’s Seed round.
  • Cargado – Cargado is creating a seamless platform enabling greater levels of transparency, engagement, and security for cross-border logistics. We believe the company meets the critical need for software to simplify the entire cross-border process as continued nearshoring leads to explosive trade between the U.S. and Mexico (with Mexico now the largest US importer as of 2023). Cargado’s rapid product development and associated network effects have enabled the team to secure additional funding after we led the Pre-seed round.

Together with the support of our portfolio company founders, our LPs, our network, and our extended community, we’re committed to creating a more productive, sustainable, and secure industrial supply chain. Our boots are on the ground, our shirtsleeves are rolled up, and we’re ready to continue building.

Read more about Ironspring Ventures $100M Fund II in TechCrunch.
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