With $5M Series A in hand, FactoryFour expands with a local partnership and West Coast office - Technical.ly Baltimore

Business

Oct. 17, 2018 1:49 pm

With $5M Series A in hand, FactoryFour expands with a local partnership and West Coast office

The manufacturing startup plans significant hiring at offices in Baltimore and Los Angeles, said CEO Param Shah.

FactoryFour cofounders Alex Mathews and Param Shah.

(Courtesy photo by Marshall Clarke/Marshall Clarke Photography)

FactoryFour recently closed on $5 million funding as the manufacturing startup expands with a new West Coast office and looks to grow its team, said CEO Param Shah.

The Series A round was led by Menlo Park, Calif.–based venture firm August Capital, with participation from existing investor Refactor Capital.

Founded by 22-year-old Shah and CTO Alex Mathews while they were students at Johns Hopkins, the Mt. Vernon–based startup’s platform is designed to serve as a foundation to help manufacturers manage and automate many of the tasks on the way to shipping products, as well as use data to make decisions. Shah said many manufacturers are still using manual processes and relying on older software or spreadsheets, yet there are also new technologies such as sensors being introduced on floors. The company is looking to add new integrations for planning and managing customer relationships, as well as adding connectivity with these new technologies.

“It’s really about building a more connected environment,” said Shah.

The company now counts more than 35 clients, both in the U.S. and Europe. Locally, FactoryFour is partnering with Arnold Packaging to automate data collection on its production floor. The family-owned company has made visible moves to embrace technology in recent years. It launched an automation division last year, and this isn’t the first time it’s worked with a Baltimore startup. Company President Mick Arnold said FactoryFour’s platform provides real-time visibility into the jobs being completed on the floor, and the total labor associated with each task.

“We can quickly identify the products where labor estimates are inaccurate and address them. That gives us the most accurate representation of gross margin for the job,” Arnold said. “In addition, assigning the actual labor value gives us the correct assessment of our capacity needs. When we look at our backlog we can plan the exact amount of manpower needed, with few surprises. That predictability is critical, especially in today’s tight labor market.”

Throughout the sales process, Shah said he’s seen the importance of have compassion for the people within an organization who are taking risks on a product. In FactoryFour’s case, it’s the production managers who are seeing potential benefits, and ultimately are speaking up for something that will bring change to the organization.

Advertisement

“They’re the ones that see the most value, and they’re the ones that are going to take it and convince their team to adopt it,” he said.

FactoryFour wants to grow this team. (Courtesy photo by Marshall Clarke/Marshall Clarke Photography)

FactoryFour wants to grow this team. (Courtesy photo by Marshall Clarke/Marshall Clarke Photography)

After evolving the platform from an idea that started with 3D printing prosthetics, Shah said the company is in a phase where the product is built and validated. Now it’s looking to make a sales and marketing push. “2019 is the year where we make a name for ourselves in the whole manufacturing industry,” Shah said.

Following the funding round, FactoryFour is gearing up for expansion. Shah said the company is opening a West Coast office in Los Angeles. While San Francisco may have been a logical choice for a tech company, Shah sees value in growing outside that tech center and tapping into talent at the LA area’s universities.

“I saw what we were able to do in Baltimore…There are these tech hubs that are growing rapidly and we want to represent them and grow within them,” he said.

The company will also look to grow its team at both offices, adding to the more than two dozen employees currently onboard. Shah said the focus will be on building out a sales and marketing organization, as well as hiring in engineering roles. Ultimately, Shah said, the company is looking to increase its “global footprint.”

Check the Technical.ly Jobs Board for new opportunities
Companies: FactoryFour
-30-
JOIN THE COMMUNITY, BECOME A MEMBER
Already a member? Sign in here

Advertisement

This MICA UP/Start winner wants to build a new kind of sustainable water bottle in Baltimore

ReFirm Labs goes deep in the supply chain to get ahead of IoT security issues

Power Moves: Baltimore Homecoming names co-chairs, executive director

SPONSORED

Baltimore

How SmartLogic accelerated these startups’ product growth trajectories

Baltimore, MD 21201

14 West

Junior Database Administrator

Apply Now
Philadelphia, PA

Orthly

Full-Stack Javascript Engineer

Apply Now
Baltimore, MD 21201

14 West

Chief of Staff

Apply Now

MICA’s UP/Start Venture Competition meant progress and funding for these 8 startups

Here’s a look at 11 Johns Hopkins student startups working in health, VR and beverages

This Week in Jobs: Win like a champion by scoring your next gig

SPONSORED

Baltimore

This fast-growing SaaS company aims to be a force for change in the energy industry

Baltimore, MD

SmartLogic

Product Designer

Apply Now
Baltimore

Technically Media

Technical.ly Baltimore Contributing Reporter (Contract or Freelance)

Apply Now
Baltimore, MD

SmartLogic

Developer

Apply Now

Sign-up for daily news updates from Technical.ly Baltimore

Do NOT follow this link or you will be banned from the site!