A start-up that offers accounting software to monitor the costs of carbon emissions incurred by companies and their supply chains has raised a $5.3 million seed round.
The investment in Tasmania-based Sumday was led by New York climate strategies early-stage investment firm Planeteer Capital and supported by existing Australian investors Blackbird Ventures, Wedgetail Ventures and Canva co-founder Cameron Adams.
Sumday has now raised a total of $7.3 million including a $2 million pre-seed round in March 2023.
The company was founded by chief executive Lisa Richmond, Lindsay Ellis and Danny Hoare.
Richmond said the company had released its initial product in Australia and New Zealand first and now planned to ramp up sales outside Australia. She said Sumday had established a global partnership with accounting software company Xero (ASX: XRO), which had given it access to the UK market, and it also had some US partners.
Sumday is seeking to make carbon accounting an extension of financial accounting for businesses of all sizes. The company is focusing on gaining sales to accountants first to levberage this change.
Although not every business has a sustainability consultant, Richmond says, nearly every business has an accountant so its strategy should have a strong flow-on effect.
In the future, she expects regulatory requirements for carbon accounting to generate increased demand.
Image: Sumday co-founders Danny Hoare, Jessica Richmond and Lindsay Ellis. Photo credit: Jazz Upton, Moon Cheese Studio.