ProcureYard, a groundbreaking B2B platform based in Gurugram and Bengaluru, has just raised $1.72 million in seed funding, signaling a major shift in the construction and raw material procurement industry. The tech-driven platform, founded in 2023, is making waves with its AI-powered solutions for supply chain optimization in industries like construction, manufacturing, and infrastructure.

In this article, we’ll break down how ProcureYard is disrupting traditional supply chain systems, its impressive growth, and what the company plans to do next with the newly secured funding.

What Is ProcureYard and What Makes It Stand Out?

ProcureYard is not your typical B2B platform. It is redefining how businesses procure raw materials by offering a one-stop solution for everything related to the supply chain. Whether you’re in construction, manufacturing, or infrastructure, ProcureYard connects companies with suppliers and provides essential services that include:

• Procurement & Sale of Construction Raw Materials
• Excess Inventory Liquidation
• Logistics Management
• Financing Solutions
• AI-Powered Supply Chain Optimization

Why Is This Funding Important?

The $1.72 million in funding, led by Powerhouse Ventures and supported by other investors such as Java Capital, 2am VC, and prominent angels like Abhishek Goyal and Rajesh Sawhney, will help ProcureYard ramp up its product development and expand its reach across India and beyond.

Key Purpose of the Funding:

• Product Development: Expanding their AI-powered platform to optimize more raw material categories beyond metals.
• Market Expansion: Increasing their market presence and enhancing supply chain solutions for SMEs.
• AI Advancements: Further advancing AI solutions for procurement, underwriting, risk mitigation, and customer relationship management.

How Is AI Transforming the Procurement Space?

ProcureYard’s AI technology is designed to streamline procurement processes for businesses. The platform offers AI agents that guide businesses in finding suppliers, negotiating deals, forecasting finances, and extracting actionable insights—all without needing complex tools.

What makes ProcureYard’s AI technology different is its vertical AI approach. Unlike general AI solutions, which tend to be broad, ProcureYard’s AI agents are specifically designed for the B2B raw material procurement sector. The company has already seen great success in the metals industry, and plans to extend these capabilities to other raw materials, making it an industry leader in digital transformation.

CEO Anshu Kandhari said, “Our AI agents deliver unparalleled solutions—helping SMEs find the right suppliers, negotiate deals, and forecast finances. It’s thrilling to witness the transformative impact on our customers and the industry.”

Impressive Growth and Profitability

A standout achievement for ProcureYard is its rapid growth and early profitability. The company has reached a Rs 300 crore annual revenue run rate (ARR), growing 6X since its inception. Not only has ProcureYard turned profitable, but it’s also well-positioned for future expansion.

This strong financial performance and growth trajectory have put the company in a great position to pursue its Series A funding round soon.

Future Plans: What’s Next for ProcureYard?

ProcureYard isn’t just stopping at raw material procurement. The company’s roadmap includes several ambitious plans:

• Expanding AI Solutions: Continuing to refine and scale their AI capabilities, including solutions for underwriting, lending, and risk mitigation.
• Market Expansion: With operations in over 20 states and serving 200+ SMEs in India, ProcureYard plans to scale even further, bringing its AI-driven solutions to more businesses and industries.
• New Vertical Launch: The company is also preparing to launch a new vertical that will further streamline the procurement process, helping businesses improve efficiency and reduce costs.

Why This Is a Game-Changer for SMEs

ProcureYard’s AI technology and digital solutions are a game-changer for SMEs, which often face challenges like inefficiencies, complex procurement processes, and limited access to financing. By simplifying and streamlining the procurement process, ProcureYard is empowering small and medium-sized enterprises to compete more effectively, grow faster, and become more financially resilient.

Sri Peddu, General Partner at Powerhouse Ventures, commented on the impact of ProcureYard’s technology, saying, “ProcureYard is redefining the digital transformation of a fragmented sector with its vertical AI approach. Their ability to achieve profitability early on is a clear indicator of strong market demand and execution capabilities.”

What’s Next for B2B Procurement?

As ProcureYard continues to push boundaries with its AI-driven supply chain solutions, the broader B2B procurement landscape is likely to follow suit. The traditional supply chain model, which has long been inefficient and outdated, is primed for disruption. Companies like ProcureYard are leading the charge in transforming these systems with smarter, more efficient technology.

ProcureYard is on track to become a market leader in this space, with its innovative approach to procurement and focus on profitability setting it apart from the competition.

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Conclusion

ProcureYard’s successful funding round and rapid growth are just the beginning. As the company expands its AI-powered solutions and refines its platform, it will continue to revolutionize B2B supply chains in the construction and manufacturing industries. For SMEs, this means more accessible, efficient, and affordable procurement solutions—and the opportunity to thrive in an increasingly digital world.

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