Measurabl Raises $2M to Provide Various Disclosures as a Service
Measurabl, a San Diego startup developing Web-based software to help big companies and others collect data required to meet non-financial disclosure requirements, says today it has raised $2 million in a seed funding round led by CrossCut Ventures.
The startup was founded last year by Matt Ellis, who was previously director of sustainability solutions at CBRE (NYSE: CBG), the commercial real estate company based in Los Angeles. At CBRE, Ellis saw how companies often struggled to collect and report data about their own energy and water use, carbon dioxide emissions, and waste production.
“The pain point in the market is that there are so many different formats for how this data should be disclosed,” Ellis says. In addition to state and federal regulatory requirements in the United States, Ellis says many companies face a different set of disclosure requirements for their operations in Europe and other countries.
Ellis says he founded Measurabl almost 17 months ago to provide a way to collect and organize data for customers, and to submit such information in the format required by various regulatory agencies. The company plans to use the funding to advance its software development, Ellis says. Measurabl currently has 10 employees.
The startup also is developing its Web-based software to collect and report “social” data on such topics as consumer protection, human rights, and diversity, as well as for issues related to corporate governance. Some socially responsible investment groups require certain disclosures to avoid making investments in companies with businesses involved in such issues as alcohol, tobacco, gambling, pornography, abortion, and weapons.
“A lot of companies are being forced into these types of disclosure activities,” Ellis says.
The company says its TurboTax-style wizards make it easier for companies to document, report, assess, and improve their operations with regard to environmental sustainability, social issues, and ethical corporate conduct.
Measurabl began by helping clients use the industry-driven Global Real Estate Sustainability Benchmark (GRESB) to assess how well real estate portfolios meet environmentally sustainable standards for performance. The company tested its software through pilot programs with customers last year before releasing it commercially this year. Customers include Clarion Partners, CBRE Global Investors, and TA Realty.
The startup first aims to serve real estate investment trusts and big retail developers that have portfolios of commercial buildings. Over time, Measurabl plans to broaden its market to include companies generating at least $1 billion in revenue, along with large municipalities and government agencies.
Measurabl says a few small companies, such as OneReport and EcoVadis, compete in certain niche markets, while SAP, Oracle, and other big software companies offer comprehensive platforms that are more expensive.