Supply chain management startup Amplio announced today that it has raised $6 million in seed funding led by Construct Capital, Slow Ventures, Koch Disruptive Technologies, and several angel investors close to the supply chain space in its first public debut as a company. Amid global supply chain bottlenecks, co-founders Taha Zinifi and Trey Closson launched Amplio during the pandemic and have developed a one-stop-shop for manufacturers to streamline material procurement and make better purchasing decisions. As a result, their clients improve their margins and keep their production lines running.
“In light of the growing need for building supply chain resilience, we are thrilled to have the backing of great investors like Construct and others. We’re eager to keep delivering for the supply chain community,” said Amplio co-founder and CEO Trey Closson. Other investors in the round included: Alpaca Ventures, High Alpha Capital, Flexport Ventures, and industry angels including Sean Henry, CEO at Stord.
The company launched in 2021 when co-founders Trey Closson and Taha Zinifi experienced the serious bottlenecks occurring in supply chains globally first hand in their roles at Georgia Pacific and project44. In their respective roles managing supply chain visibility from the vendor and operator sides, Closson and Zinifi are intimately familiar with the challenges presented by the sheer number of factors that can delay or impact manufacturing such as chip shortages and part delays.
Closson, who was previously responsible for international logistics at Georgia Pacific, first experienced disruptions to supply chains while managing international logistics for a large automaker. When the Fukushima nuclear disaster created the need for emergency expedites, he started strategizing how manufacturers can improve their resiliency. On the other hand, Zinifi had a unique appreciation for the struggle of the Average Joe in the supply chain. “I’ve watched my dad, a lifetime freight forwarder, work tirelessly to help his customers navigate critical disruptions. I knew that, growing up, I wanted to do the same at scale”. A graduate in Data Science and second time entrepreneur, he was an early employee at project44, the leading supply chain visibility platform.
While there are plenty of other incremental pieces of the solution on the market, there was no singular platform to combine all the pieces of the supply chain management puzzle that gives operators access to additional supply in the same place. They received support to pursue the idea through a joint venture studio between Koch Industries and High Alpha Innovation.
“Our customers need to keep the beating heart of production going by procuring the 1% hard-to-find parts. To do so, we help them streamline purchasing for the other 99% to avoid any unexpected shortages. Amplio’s data platform makes each existing buyer more valuable, helping them automate their job and make better decisions,” shared Zinifi.
“What drew us to Amplio was its unique ability to identify risks proactively in order to achieve strong, on time production results and to uncover great new suppliers in the process.” says Dayna Grayson, co-founder and co-managing partner at Construct Capital. “The supply chain is a mess – there is no visibility and even less reliability. The pandemic highlighted the problem but the problem is embedded in a system that was built in an analog world. We have the systems to be smarter now and Amplio hits at the core of how the supply chain should operate in a digital, connected world.”
Today, the Amplio platform is an all-in-one solution where users can procure components optimized for availability and price, connect to diverse sources of supply, execute the full PO lifecycle, and manage procurement to meet production goals. From contract manufacturers to tiered suppliers to OEMs, it works with stakeholders on all sides of the supply chain to ensure there does not have to be a tradeoff between resilience and cost.
“Supply chain resiliency has historically been driven from the top, and end users typically have never had agency in affecting the reliability of sources,” added Closson. “Amplio is geared towards the everyday user in operations, manufacturing, supply chain, and logistics, who has to continuously deliver on time to maintain production schedules, or suffer costly delays to the manufacturing process. We’ve made a product by and for that end user.”
Amplio’s benefits go well beyond its immediate end users, however: by making supply chains more efficient and resilient, Amplio can help improve global GDP as well as improve sustainability and reduce waste in the global supply chain.
Based in Atlanta, Georgia, the company currently has six employees. With the funds raised, Amplio plans to continue building out its supplier network and hire across all facets of the business.