Fintech platform Navix raises $5 million, captures the interest of industry angel investors
Navix has received $5 million in seed funding from industry angel investors. (Photo: Shutterstock)
Logistics fintech platform Navix announced Tuesday that it has secured $5 million in seed funding from several strategic and angel investors, including Tommy Barnes, logistics veteran and chief revenue officer of less-than-truckload platform MyCarrier, and Rob Estes, chairman and CEO of the LTL carrier. Estes Express Lines.
In an interview with FreightWaves, Navix co-founder Eric Krueger explained that since founding the company in June 2021, it has flown under the radar – self-funded – and worked to build a back-office system that can integrate data from carriers, transport management systems, financial systems and business intelligence platforms to streamline freight auditing and payment operations.
While the system provides solutions for all shipping modes, long conversations with LTL providers helped Krueger diagnose problems with current freight audit systems looking to automate these processes.
“The genesis of Navix was developed through a long-standing relationship with Evans Transportation,” said Krueger. “They were looking for a freight audit solution specific to their LTL and managed transportation businesses and found nothing that fit. [They knew] they needed highly configurable business rules by customer, vendor and location that also evaluate contracts, that can tell me why an accessory was flagged… down to those levels of granularity.”
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Krueger went on to diagnose the same problems with some of Navix’s biggest customers, including SunTerra Logistics, Armstrong Transport Group, Running Ox Logistics and Veritas Logistics.
These insider conversations, which have led to the creation of true value while rapidly building the fintech software-as-a-service platform, caught the attention of Navix’s angel investors.
“Some organizations approach technology in the logistics space as either ‘outside in’ or ‘inside out,'” Barnes said in a press release. “Either they have a great idea but don’t understand the industry-specific pain points and operations well enough to get ‘inside’ in the circle, or they are industry professionals who understand their needs but do not have the expertise to use the technology to solve the problem. To be successful, you need a combination of both. Navix has both.”
Estes agreed with that assessment.
“They understand the customers’ problems, the value proposition and how they can use the technology to solve them,” he said. “These are the key ingredients of a successful technology provider in the logistics industry, and I look forward to being a part of it.”
With capital to fund the expansion of product development, customer success and onboarding personnel, along with new investor relationships with deep shipping backgrounds, Krueger looks forward to disrupting current shipping audit solutions.
“We’re trying to remain agnostic and get very good at reducing friction when it comes to billing disputes and resolutions,” he said. “We want to ensure that all parties in the ecosystem – carriers, shippers and intermediaries – are involved. Ultimately, our whole vision is to speed up the cash conversion cycle and become the single source of truth for real-time dispute resolution.”
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