ProcureYard, a B2B commerce platform specializing in raw materials, has raised $1.72 million in a seed funding round led by Powerhouse Ventures. Other participants include Java Capital, 2am VC, and prominent angel investors such as Abhishek Goyal, Co-founder of Tracxn, and Rajesh Sawhney, Founder of GSF.

The funds will be used for product development and working capital management. ProcureYard plans to leverage its custom-built conversational AI platform to expand beyond metals into other raw materials, aiming to strengthen its supply chain solutions and increase market presence.

Founded in 2023 by Anshu Kandhari, Pankaj Bisht, Somdutt Parashar, and Tushar Agarwal, ProcureYard offers a comprehensive suite of services. These include procurement and sales of construction raw materials, excess inventory liquidation, logistics management, financing options, and vertical AI solutions for optimizing supply chains and enhancing customer relationship management.

Currently operating across 20 states in India, ProcureYard has established a robust network of over 200 suppliers catering to more than 200 SMEs. The company has achieved significant milestones, including an annualized revenue run rate (ARR) of ₹300 crore and profitability, growing 6X in the process. Looking ahead, the company aims to scale its ARR to ₹3,000 crore within the next 12–18 months.

To further enhance its offerings, ProcureYard has launched a multilingual voice agent capable of understanding customer inquiries and matching them with the most suitable suppliers. This innovation aligns with its goal of streamlining the procurement process and strengthening its position as a leader in the B2B raw materials space.

With this seed round, ProcureYard is poised to accelerate its growth trajectory and bring AI-driven efficiency to the raw materials market.