While the business of sourcing components and supplies and negotiating contract terms may not seem glamorous, it is undeniably critical—which is precisely why Procure AI Ltd.’s seed funding round deserves attention.
The startup announced today that it has raised $13 million in a seed round led by Headline, with participation from C4 Ventures, Futury Capital, and several angel investors from the procurement industry.
Procure AI leverages artificial intelligence agents to automate enterprise procurement operations, claiming significant cost reductions and efficiency gains that directly boost profitability. The company has built a “fully AI-native procurement platform” that spans the entire spectrum—from purchasing to managing essential supplies—rather than offering fragmented point solutions for isolated tasks.
Rather than replacing existing procurement software, Procure AI’s platform integrates with these systems, ingesting all their generated data for use by more than 50 AI agents. These include autonomous agents that independently execute procurement tasks, collaborative agents that assist human decision-making, and ambient agents that proactively support human teams. According to the startup, this approach enables end-to-end automation of procurement workflows—including sourcing, contracting, purchasing, and invoice management.
The company argues that procurement automation is needed now more than ever, as teams are expected to do more with fewer resources. Citing research from Proxima Group, Procure AI notes that 90% of companies struggle with understaffed procurement teams, budget constraints, and skill gaps. Compounding these challenges are rising trade uncertainties and supply chain disruptions, driven in part by newly imposed tariffs on goods imported into the U.S.
Despite these headwinds, procurement remains vital for most enterprises. Research from The Hackett Group shows that external supplier costs account for 60% to 75% of revenue among average Fortune 500 companies—meaning even modest improvements in efficiency or cost savings can translate into billions in added profit.
This is exactly what Procure AI claims to deliver, touting substantial gains in productivity, quality, and cost reduction. For instance, its autonomous spot-buying and tactical sourcing agents reportedly cut procurement cycle times by roughly 40% while saving 3.7% to 5.2% per purchase. Meanwhile, its quote-to-order-receipt agent can automatically fulfill up to 60% of procurement requests.
“Enterprises can no longer rely on manual, human-driven processes for procurement,” said Konstantin von Büren, Co-Founder and Co-CEO of Procure AI. “Our corporate clients tell us they need to handle three times the volume of procurement events with the same—or even fewer—people. The only way forward is through AI agents that operate autonomously while maintaining the rigor and compliance procurement demands.”
Actions speak louder than words: over the past 12 months, Procure AI has quadrupled its revenue. With offices in London, Paris, and Frankfurt, the startup counts major clients such as German energy provider EnBW Baden-Württemberg AG and industrial giant Kärcher SE & Co. KG, both of which report approximately 30% reductions in processing time, around 5% in cost savings, and average savings of €2.35 million (roughly $2.7 million).
One of the company’s key advantages is that clients don’t need to scrap their existing procurement systems. “Our platform sits atop fragmented data environments and makes them intelligible—enhancing existing infrastructure rather than replacing it,” explained Yves Bauer, Co-CEO. “That’s why we deliver ROI in months, not years, and why our customers see us as true partners, not just another vendor.”
Looking ahead, Procure AI plans to expand beyond its core DACH region (Germany, Austria, Switzerland) into other European markets—particularly the UK, France, the Benelux countries, and Scandinavia. The company will also focus on scaling its engineering team and broadening its suite of agent-driven automation capabilities.
