Kiwi procurement software startup banks $2.2 million in pre-Seed round

New Zealand procurement startup Cotiss has raised $2.2 million in pre-Seed funding.

The round led by Blackbird Ventures, supported by Icehouse Ventures, AfterWork Ventures, Phase One, and Co-Ventures.

Cotiss is looking to help small and medium-sized procurement teams with simple, intuitive software that improves efficiency and saves money for organisations in high regulation and compliance industries such as government, banking, primary industries and healthcare. It automates repetitive tasks, improves traceability, and provides guardrails that prevent non-compliance. 

The startup was founded in November 2020 by Harry Wilde, Matt Whiting, and Matt O’Halloran and has primarily bootstrapped for its first two years. 

Wilde said they’ll use the funding to build out the engineering team led by John Gregoriadis, a former Xero head of engineering. They’re also looking to expand in Australian and launch in North America later this year. 

“We’re thrilled to have the support of such a strong group of investors as we continue to build the Cotiss platform,” he said.

“This investment will enable us to expand our team and accelerate our efforts to simplify and streamline procurement processes for organisations that are typically underserved, ultimately leading to greater efficiency and cost savings.” 

Blackbird Ventures investor James Palmer said Cotiss redefines procurement for small to medium teams.

“Procurement departments, hindered by outdated tools and processes, are hard pressed to manage what are highly collaborative and compliance driven processe,” he said

Some who understands the problem first hand is Sarah Blackie head of procurement consultancy Esby and Co,.

“Smaller organisations and their procurement teams have been overlooked and underserved for years when it comes to fit-for-purpose sourcing software. Where software is absent, there’s often too much paperwork, costly inefficiencies and frustration,” she said.

“Ultimately, these inefficiencies prevent leaders from focusing on important things such as thinking strategically, sourcing locally and supporting our supplier ecosystem to act sustainably. That’s why it’s so great to have Cotiss helping organisations to improve the procurement experience for all.”