Atlanta sustainability startup Cloverly raised $2.1 million, led by Tech Square Ventures.
Cloverly’s platform analyzes the environmental impact of different products and services, such as the emissions needed to deliver an item ordered online. Clients can purchase renewable energy credits from Cloverly, which go toward local carbon offset projects to neutralize the impact of their services.
Inside the deal: Tech Square Ventures, an Atlanta early-stage investment firm, led the seed round. Local firms Panoramic Ventures and Circadian Ventures, as well as Knoll Ventures, SaaS Ventures and SB Opportunity Fund also participated. Jason Rubottom, former CEO of e-commerce software startup Ally Commerce, joined Cloverly as CEO. Anthony Oni, who founded the company, is now a managing partner at New York-based Energy Impact Partners investment firm. He will continue to serve on Cloverly’s board.
About the company: Cloverly was incubated in Southern Company, where Oni worked previously worked as a vice president of corporate communications. Oni officially launched the startup on Earth Day in 2019. Cloverly is a portfolio company of Engage, a program that facilitates collaboration between startups and corporate innovation in Tech Square.
Why it matters: Cloverly’s sustainability services cater to businesses incorporating more sustainability initiatives into their operations, a growing trend as consumers prioritize companies that align with their social and environmental views. Almost 60% of consumers say they are willing to change their shopping habits to reduce environmental impact, according to a 2020 IBM Research Insights report. Cloverly helps companies fulfill sustainability initiatives and provides software that shows measurable effects of those changes.
The startup could become a success story for the Atlanta innovation ecosystem if its trajectory continues. This funding round indicates how collaboration with investors and corporations in Tech Square could propel startups to faster growth.
What’s next: The startup plans to double its 10-person team in the next year and continue product development. Cloverly doesn’t have office space yet but plans to have a physical presence in Atlanta.