Arch Raises $6.2 Million in Seed Funding

<p><strong><span class&equals;"legendSpanClass"><span class&equals;"xn-location">SAN FRANCISCO<&sol;span><&sol;span><&sol;strong> &&num;8212&semi; <a href&equals;"https&colon;&sol;&sol;c212&period;net&sol;c&sol;link&sol;&quest;t&equals;0&amp&semi;l&equals;en&amp&semi;o&equals;4092530-1&amp&semi;h&equals;3304783665&amp&semi;u&equals;https&percnt;3A&percnt;2F&percnt;2Fwww&period;getarch&period;com&percnt;2F&amp&semi;a&equals;Arch" target&equals;"&lowbar;blank" rel&equals;"nofollow noopener">Arch<&sol;a>&comma; operator of a data intelligence platform for HVAC contractors&comma; has raised <span class&equals;"xn-money">&dollar;6&period;2 million<&sol;span> in seed funding from Gigascale Capital&comma; Coatue&comma; Floodgate&comma; ReGen Ventures&comma; and MCJ Collective&period; The investment comes as a fast-growing majority of Americans want to electrify their homes amid a shortage of installers and high upfront costs&period; Arch aims to ease both by transforming the sales process and making heat pumps the obvious financial and performance choice for contractors and homeowners&period;<&sol;p>&NewLine;<p>The company plans to use the funds to grow its engineering team and expand its customer base in the Northeast and <span class&equals;"xn-location">California<&sol;span>&period;<&sol;p>&NewLine;<p>Contractors typically face time-consuming sales processes and low conversion rates&comma; spending 80&percnt; of their time on leads that won&&num;8217&semi;t convert&comma; a cost-shared across every installed heat pump&period; Arch&&num;8217&semi;s System of Intelligence for Revenue Generation integrates data from over 12 sources across internal &lpar;e&period;g&period;&comma; CRM&comma; ERP&rpar; and external &lpar;e&period;g&period;&comma; satellite real estate footprints&rpar; and uses proprietary algorithms to offer intelligence beyond workflow automation&period; The platform enables contractors to quickly analyze homes&comma; optimize heat pump systems&comma; and will soon include savings calculations&period; With these insights&comma; Arch will unlock competitive point-of-sale financing and further boost contractors&&num;8217&semi; sales&period;<&sol;p>&NewLine;<p>&&num;8220&semi;I was a solar installer myself&comma; have been on the road with contractors&comma; and know how frustrating it is to invest time upfront and miss out on a sale&comma;&&num;8221&semi; said <span class&equals;"xn-person">Phil Krinner<&sol;span>&comma; Co-Founder and CEO of Arch&period; &&num;8220&semi;Heat pumps are currently a black box&period; By providing insights to contractors&comma; homeowners&comma; and financiers&comma; we&&num;8217&semi;re helping them translate heat pumps into a financial opportunity&period;&&num;8221&semi;<&sol;p>&NewLine;<p>Electric heat pumps are outselling gas furnaces as consumers navigate roller coaster energy prices&comma; increasingly frequent heatwaves&comma; and take advantage of federal&comma; state&comma; and utility incentives&period; This critical decarbonization technology cools and heats with significantly lower carbon emissions compared to traditional air-conditioners and furnaces that rely on fossil fuels&period; Analysis by RMI indicates that replacing a gas furnace with a heat pump can reduce up to 93&percnt; of climate pollution&period;<&sol;p>&NewLine;<p>Rewiring America&&num;8217&semi;s analysis suggests that the Inflation Reduction Act &lpar;IRA&rpar; will provide American households with an average of <span class&equals;"xn-money">&dollar;10&comma;600<&sol;span> for full electrification&comma; saving them an average of <span class&equals;"xn-money">&dollar;1&comma;800<&sol;span> annually on energy bills&period; In <span class&equals;"xn-chron">September 2023<&sol;span>&comma; a coalition of 25 states&comma; representing 55&percnt; of the U&period;S&period; population&comma; committed to installing 20 million residential heat pumps by 2030&period; The International Energy Agency estimates that the U&period;S&period; must invest <span class&equals;"xn-money">&dollar;160 billion<&sol;span> annually by 2030 to meet its goals&period;<&sol;p>&NewLine;<p>Arch is designed to help contractors capitalize on increasing demand by making their work more efficient&period; It cuts down the time spent on paperwork&comma; site visits&comma; and creating estimates&period; The platform works similarly to <span class&equals;"xn-person">Aurora Solar<&sol;span> and is well-placed to benefit from the expected growth in the HVAC sector&comma; which is predicted to grow rapidly like the solar industry&period; Once a system is designed&comma; the goal is for contractors to use Arch&&num;8217&semi;s savings forecast to provide homeowners with a clear view of a heat pump&&num;8217&semi;s long-term return on investment&period; Additionally&comma; Arch plans to provide its comprehensive insights to lenders to unlock the industry&&num;8217&semi;s most competitive point-of-sale financing&period;<&sol;p>&NewLine;<p>&&num;8220&semi;Between falling technology costs&comma; energy volatility&comma; and compelling incentive – heat pumps are becoming a no-brainer for households looking to save money&comma;&&num;8221&semi; said <span class&equals;"xn-person">Victoria Beasley<&sol;span>&comma; Partner at Gigascale Capital&period;  &&num;8220&semi;The Arch team is well positioned to take advantage of an exponential growth curve in heat pumps that is set to mirror the growth in solar&period;&&num;8221&semi;<&sol;p>&NewLine;<p>&&num;8220&semi;Arch&&num;8217&semi;s data intelligence platform seeks to solve an important piece of the heat pump installation puzzle for HVAC contractors&comma;&&num;8221&semi; said <span class&equals;"xn-person">Jaimin Rangwalla<&sol;span>&comma; Senior Managing Director at Coatue&period; &&num;8220&semi;We are excited to partner with Arch in this new era of climate-conscious HVAC solutions and we look forward to supporting them on their mission to transform the <span class&equals;"xn-money">&dollar;126 billion<&sol;span> HVAC contractor market in the US&period;&&num;8221&semi;<&sol;p>&NewLine;

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