Backyard Spaces and IP Licensing
Meet Krava and Layer
👋
Welcome to the 35th edition of our newsletter, where we feature the most exciting early-stage startups, job openings, and valuable resources, all in a single newsletter.
Now, let's delve right into what's in store for this week.
Startups to watch
Krava
TL;DR: Modern backyard spaces
Krava is revolutionizing the construction industry by offering modular, easy-to-assemble backyard spaces. Krava's main focus is on practicality and convenience for homeowners, providing solutions for needs like a home office, a personal gym, or a podcast studio. "The Krava K1" unit can be assembled by a licensed contractor in under 4 hours.
Why? The construction industry has long grappled with rising construction costs1 stemming from labor shortages, supply chain disruptions, and volatile material prices. Modular home building2 was once touted as a solution that never materialized.
To date, prefabricated housing has achieved a sustainable foothold in only a few places, including Japan and Scandinavia3. In markets such as the United Kingdom and the United States, it has been in and out of favor since the postwar era. However, modular construction in European and US markets has the potential to deliver annual savings of up to $22 billion, and there is reason to believe the current revival could be different. The industry is adopting new, lighter-weight materials as well as digital technologies that enhance design capabilities and variability, improve precision and productivity in manufacturing, and facilitate logistics.
Some builders are working to change the old reputation of prefabricated housing as an unattractive, cheap, poor-quality option. They are focusing on sustainability, aesthetics, and serving the higher end of the market. At the same time, loosening regulations around detached structures (ADUs) have allowed homeowners across several US states to make additions to their property.
If this trend takes hold, it could give the industry a significant productivity boost, help solve housing crises in many markets, and reshape the way we build today.
Founded: 2022, Texas, US
Founder: Ritwik Pavan (CEO) - ex-CEO & Co-founder @ Vade (venture-backed startup focused on solving urban parking issues through real-time curb data and computer vision)
Industry: Construction
Funding: N/A
Investors: N/A
Layer
TL;DR: IP (intellectual property) licensing marketplace built for interactive experiences and games
Layer's IP marketplace simplifies the process of matching developers with suitable IP owners based on commercial requirements, audience overlap, and thematic fit.
For instance, a developer working on a new game aimed at children can join the platform and be matched with popular children’s characters based on the parameters they set. Once two companies are happy with a match, they can proceed to the negotiation phase to agree on commercial terms, all of which is handled within the platform.
Layer’s marketplace can be used to connect everything from characters to films. Brands such as Care Bears, Animal Planet, Bruce Lee, and Snickers are already utilizing it, alongside game companies like Rogue, Addicting Games, Illuvium, Trove, Stillfront, Ready Player Me, Play Way, GoNoodle, Gamigo Group, Aceviral, AviaGames, Shockwave, Crikey, and Bookful.
One of the exciting long-term goals for Layer is to act as a distribution channel for IP, similar to how a global athletics brand drops a new product simultaneously across multiple locations. In this case, Layer aims to facilitate the distribution of IP across thousands of games simultaneously, making content freely accessible wherever it's needed.
Why IP licensing matters for game developers? IP licensing has become a critical strategy for game developers seeking to create distinctive and captivating gaming experiences. Acquiring licenses for well-known characters, stories, or universes allows developers to create games that appeal to existing and potential players. This strategy not only provides a competitive edge in the crowded gaming market but also enhances visibility and popularity, leading to built-in fan followings, enhanced credibility, and increased monetization.
Founded: 2021, Brisbane, Australia
Founders: Rachit Moti (CEO) - ex-Growth Strategy @ Askable, Sales & Operations @ Go1; Chris Illuk (CPO) - ex-Product Lead @ Propeller
Industry: Gaming
Funding: $3 million (Seed)
Investors: Carthona Capital, Aura Ventures, TEN13, Flying Fox, Black Sheep Capital, Luxem, Tribe Ventures
Which early-stage startup should we feature next? Send us a reply. (Criteria: Pre-Seed, Seed, and Series A startups)
Deals
Basis, an AI platform for accounting firms, raised $3.6 million in a Seed round led by Better Tomorrow Ventures, with participation from BoxGroup, Avid Ventures, and angel investors.
Objective, a multimodal search platform developed by experts from Apple, Google, Meta, Amazon, and Twilio, emerged from stealth with $13 million in venture funding from Matrix Partners, Two Sigma Ventures, and angel investors, including Vipul Ved Prakash, Mike Cafarella, and former Airbnb director Georg Bauser.
Tofu, a generative AI platform for hyper-personalized, omnichannel marketing campaigns, secured $5 million in Seed funding led by Index Ventures, with support from SignalFire, Stage 2 Capital, and Liquid 2 Ventures.
K2 Space, headquartered in Los Angeles, secured an additional $7 million in funding for its satellite 'bus' project, resulting in a total capital raise of $16 million, including an $8.5 million Seed round. Among the recent investors is Alpine Space Ventures, a European fund led by several early SpaceX engineers.
Roofr, a San Francisco-based roofing technology startup, raised $23.5 million in funding led by Vertical Venture Partners, with participation from ABC Supply Co, Bullpen Capital, Interplay Ventures, and others.
iink, a digital payments network that expedites the disbursement of funds associated with multi-party property insurance claims, raised $12 million in Series A financing led by Headline, with participation from Motley Fool Ventures, Chartline Capital Partners, Silver Circle Ventures, and existing investors.
(Sponsored) Need speed and flexibility in scaling dev teams? Revelo is the largest platform to hire world-class remote developers from LatAm. Get matched with vetted candidates in 3 days and receive a $2,500 credit on first hire.
More for your eyeballs
From Architect to Food Delivery Co-Founder (CNBC): Shawn Tsao went from aspiring architect to co-founder of a $400 million food delivery company, Caviar, thanks to a pivotal decision with his college friends and a shift from a failed "Groupon for food" concept to becoming the "Uber for food.
Achieving Product-Market Fit (Mailchimp): It's the alignment of your product with market demand and customers' willingness to pay, crucial for business success.
Cultured Exotic Meats (Vox): Innovations in cultured-cell technology may make it possible to produce ethical, lab-grown exotic meats like tiger and zebra, but it raises concerns about potential impacts on endangered species and ethical considerations regarding animal exploitation.
Why So Many Streaming Services Are Struggling (The Information)
(Sponsored) Thinking about profitability, extending your runway & improving operations efficiency? Propeller’s fractional CFO model offers a dynamic solution that provides a cost-effective option to hiring full-time finance talent.
Who's hiring
Dots—YC S21 (payouts infrastructure) is hiring a Full-Stack Engineer (Generalist) with 2-5 years of experience in software engineering or a related field.
Mattermore (AI copilot for sales managers) is hiring a CTO with 4+ years of experience in CTO or Lead Engineering roles at tech startups and a Founding Engineer with 3+ years of experience in full-stack development.
Grit (focused on solving technical debt) is hiring a Senior/Staff Software Engineer with 4+ years of experience as a software developer.
Onaroll (employee rewards app that incentivizes productivity and longevity) is hiring a Customer Success Manager with 3-5 years of customer success management experience.
Causal (aiming to replace Excel) is hiring a Backend Engineer - Data with 4+ years of customer-facing experience.
Mintlify (AI powered documentation writer) is hiring a Software Engineer—Customer with 4+ years of technical experience and a Head of Design with 5+ years of experience in product design.
Interested in any of these jobs? Please reach out for warm intros!
That's a wrap for this week.
Thank you for sticking with us until the finish.
We're open to hearing your suggestions for future newsletter topics, so feel free to share what you're grappling with or what you'd like to see from us in upcoming editions.
Have a great week.
Kenneth ✌️
If you're interested in becoming a sponsor of this newsletter please reach out to kenneth@openscout.co.
Looking for more early-stage startups? Join our private deal flow network and get access to the hottest opportunities.
Modular (or prefabricated) construction is not a new concept, but technological improvements, economic demands, and changing mind-sets mean it is attracting an unprecedented wave of interest and investment.
In broad terms, modular construction involves producing standardized components of a structure in an off-site factory, then assembling them on-site. Terms such as “off-site construction,” “prefabrication,” and “modular construction” are used interchangeably. These terms cover a range of different approaches and systems, from single elements that are clipped together using standard connections and interfaces to 3-D volumetric units with full fixtures.
