The process of obtaining permits for construction can be a long and arduous one in many cities. Whether it’s for a residential or commercial project, the wait times can be excruciatingly slow, causing frustration and financial strain on businesses.
A Proptech Startup Emerges to Simplify the Process
One new proptech startup is emerging from stealth today with $8 million in seed funding led by Trust Ventures with participation from LiveOak Ventures and Chicago Ventures. Austin-based GreenLite is out to make the process much less painful — and faster — for businesses.
How Does GreenLite Work?
GreenLite’s platform accelerates permit approval for city planning by 75%. This means that businesses can get permits in a matter of weeks, as opposed to months, or in the worst cases, years. The company has built software that allows it to "own" the permitting process from start to finish, enabling it to more accurately predict opening dates and directly respond to comments during plan review.
A Holistic Approach
Gallagher, CEO and co-founder of GreenLite, said that other companies in the space only service one side – the developer or the city agency – and they have focused on building project management software for either of those sides. In contrast, GreenLite’s platform connects developers with the city agencies that regulate and review construction permits.
A Scalable Solution
GreenLite has chosen not to focus on expediting the permit process, which leverages a local middle-man or consulting firm to facilitate permitting. According to Gallagher, "We aren’t interested in expediting as we don’t consider it scalable."
The Benefits of GreenLite’s Platform
Gallagher added that building one platform that serves all stakeholders on both sides is crucial to solving the problem of permit approval. If information lives in silos and everyone involved can’t collaborate seamlessly, the permitting process breaks down.
Large Customers and Revenue Growth
GreenLite works with hundreds of businesses, including five of the top 10 largest global retailers, massive franchises, and EV charging networks. One of its notable customers is Chick-fil-A, which had experienced construction permitting timelines that ranged from six-12 months. GreenLite claims it was able to drive construction permitting timelines to weeks.
Funding and Future Plans
GreenLite has managed to gain so much traction in a short period of time because the "pain is high and problem is real and expensive – so there’s lots of demand." Gallagher declined to share any specifics around revenue or financials, or the company’s valuation. The 27-person company plans to use its new capital to grow its go-to-market (sales and customer success) team, expand its product and engineering team, and increase its presence in new markets.
The Pain Points of Permit Approval
Sal Churi, general partner at Trust Ventures, described permitting as a "nightmare." He wrote that it’s the biggest gating item to building and it’s completely outside of your control. Today permitting means confusing requirements, unexpected delays leading to cost overruns, and zero visibility into the timeline.
A Game-Changer for Businesses
Churi added that GreenLite understands this challenge firsthand and has built a platform that addresses these pain points. He believes that GreenLite is a game-changer for businesses.
Conclusion
GreenLite’s innovative approach to permit approval has the potential to revolutionize the construction industry. With its holistic platform, scalable solution, and large customer base, GreenLite is poised to make waves in the proptech space. As the company continues to grow and expand its presence in new markets, it will be interesting to see how it addresses the challenges of permit approval and what impact it has on businesses across the country.
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