Florida Funders Invests in Togal.AI’s $5 Million Pre Series A Round at a $50 Million Valuation Cap

Florida Funders, recognized as the most active VC in the Southeast region by Pitchbook, announced today its investment in Togal.AI, an AI-powered construction software that automates the takeoff within the construction estimating process.

Florida Funders invested in Togal.AI’s $5M Pre Series A SAFE round at a $50 Million valuation cap from the Florida Funders’ Fund 2, LLC., alongside a roster of new and existing investors including Coastal Construction and executives from Meta, Goldman Sachs and Minitab. The new funds will support Togal.AI’s hiring efforts and ongoing product development.

The company takes a unique approach to a traditionally manual process, reducing errors and labor costs with its machine learning engine that automatically and accurately detects and measures project spaces in seconds – a process that used to take hours or days – with 97% accuracy. Togal.AI was built for general contractors and sub-contractors, allowing them to respond to more proposals, faster.

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“Growing up in a family construction business, I learned estimating from my grandfather 25 years ago,” said Patrick Murphy, Chief Executive Officer of Togal.AI. “We used rulers, rollers, highlighters and a calculator to perform take-offs. Then the industry moved to computers, where we manually used a mouse to measure each space. It’s beyond exciting to now bring AI to the industry. Construction is at an inflection point and I believe the next decade will be transformative. The pandemic accelerated the acceptance of new methodologies and the technology has finally caught up to drive better results, higher quality and faster deliveries, all at a better price.”

Based in Miami, Florida, Togal.AI currently serves 25 of the 400 largest contractors in the U.S. and boasts a robust client list including DPR, Clark Construction, Stiles, Total Flooring and Coastal Construction. The company has two patents issued and eight patents pending. Togal.AI captured the grand p**** at the 2022 eMerge Americas Startup Showcase and won the startup pitch competition at The Big 5, the largest global construction industry event in Dubai. They are currently a finalist for the National Associated General Contractor’s Innovation of the Year Award. The startup was founded in 2019 with seed funding from Coastal Construction.

“The accuracy of the takeoff is critical to an estimate. Togal.AI greatly reduces the risk of error and adds hours back into my staff’s time. As manpower has become more costly, we need to be able to complete more in less time with the resources we have available to us. Togal.AI is a no-brainer,” commented Chris Christy, Vice President, Estimating at Kauffman Lynn.

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“This is one of the more innovative applications of AI we’ve seen for a growing industry ripe for disruption,” said Saxon Baum, Partner at Florida Funders. “Patrick’s deep, firsthand knowledge of the construction industry’s ins and outs make him the ideal founder Florida Funders wants to back.”

Florida Funders is constantly and actively looking to grow and add investors to their network. They have fully deployed their Fund 1 and closed their $60M Fund 2 in the last year. They have already made over 42 investments from that fund and are hard at work seeking new investment opportunities. For more information on Florida Funders, please visit floridafunders.com.

Recognized as the top VC in the Southeast region by Pitchbook, Florida Funders is a venture capital firm and angel network that invests in early-stage technology companies in Florida and beyond. The Florida Funders platform creates a unique experience that educates our community of investors, provides transparency during the funding process, fosters communication across the ecosystem, and empowers the strategic relationships that drive investments.  Our experienced team is composed of investors, entrepreneurs and advisors focused on being the most respected and impactful early-stage tech investment firm in the US.

Based in Miami, Florida, Togal.AI is one of the fastest-growing preconstruction technologies, with hundreds of users from some of the world’s largest contractors. In 2022, Togal won The Big 5 Global Construction Pitch Competition in Dubai and Miami’s eMergeAmericas Startup competition judged by Shark Tank’s Kevin O’Leary. The company was selected for Venture Atlanta, and has made BuiltWorlds’ Pre-Construction 50 List two years in a row, which names the hottest construction-tech companies in the world.

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