Felux Seed Funding
Felux Seed Funding
CLEVELAND - August 25, 2021 - (Newswire.com)
Felux, the fastest growing B2B marketplace and supply chain platform for the steel and industrial industry, today announced the company has raised $5.1m in seed funding led by Expa, with participation from 8VC and Lightbank.
Felux aims to transform the traditional offline, trillion-dollar steel industry by helping bring commerce and inventory online, so the industry has a digital solution to manage their supply chains, purchasing, procurement and logistics. The Felux platform offers the ability for both buyers and suppliers to connect directly with thousands of potential new customers, provides technology to manage both sourcing and procurement, facilitates logistics, financing and payments to both sides of the market.
Felux was founded in 2019 with the goal of creating a platform that would help bring the steel industry online. Most inventory today lives in legacy systems, pdfs and paper documents, significantly reducing the supplier's ability to create a seamless purchasing experience with their customers. As a result, companies must contend with low visibility into pricing, inventory levels and rely on past customer relationships creating large price disparities in the market.
Felux is currently experiencing a period of rapid growth and utilization. In the past 12 months, it has facilitated more than $90 million in transactions. The platform now has over 1,500 customer locations ranging from fortune 500 companies, mills, service centers, brokers & traders, and manufacturers located throughout the United States, Canada and Mexico.
"The era of digitization in the steel industry has arrived. Over the last 12 months, we have been working tirelessly building tools for the industry to help suppliers and buyers get their inventory and catalogs online, manage logistics and get access to best-in-class financing rates. Because of this, we have been able to create a consumer-like purchasing process for an extremely complex transaction and offline industry. As a result, we are seeing more frequent transactions from our customers, suppliers are getting larger margins on deals and buyers are finding new suppliers with better pricing even with the global supply chain crunch and rising steel prices that the industry is facing," said Dallas Hogensen, Co-Founder and CEO of Felux.
Supply chains in the steel industry are extremely complex and as a result, many suppliers and manufacturers have been hesitant to adopt new technology, because they are expensive, outdated, hard to use and lack the ability to integrate both payments, financing and logistics into one platform. Traditionally the majority of the industry has had to result in using email-, fax- and paper-driven processes to handle the procurement, purchasing and payments of goods. Felux platform is free to buyers and alleviates the pain of sourcing, manages all of the correspondence and allows you to price against several suppliers in real time. It also allows suppliers to upload inventory directly to the marketplace via email, helping save time, money and get access to new customers that they would not traditionally do business with.
"Compared with other industries, such as media and retail, digitization in the steel and metal industries is still lagging behind. But it also means that the first mover will gain a clear competitive advantage," said Roberto Sanabria, Managing Partner, Expa. "Felux is at the forefront of truly changing the way one of the world's most important industries does business. We are thrilled to partner with the Felux team and support their vision of deploying agile technology that supports large-scale digitization of a backbone industry."
About Felux:
Headquartered in Cleveland, Ohio, Felux was founded in 2019 by Dallas Hogensen, CEO, and Chris Day, COO, to make commerce better for everyone in the industrial world. Today, Felux is the fastest growing B2B marketplace in the steel industry and has over 1,500 customer locations that cover 95% of the United States, with a presence in Canada and Mexico. Felux customers include fortune 500 manufacturers, Steel Mills, and several of the top 50 steel service centers and processors by size. In both 2020 and 2021, Felux was recognized as one of the top technologies in the global metals space by S&P Global Platts.
Felux is helping the steel industry digitize the supply chain by providing tools and software to help manage digital commerce, customer relationships, buyer and supplier discovery, Logistics services and financing options all on one platform.
To learn more, please visit www.felux.com
For more inquiries reach out to dhogensen@felux.com
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Original Source: Felux Raises $5.1M in Seed Funding to Digitize the Steel Industry With the Launch of B2B Marketplace and Supply Chain Logistics Platform
