Origin and Mission
Founded in Hanover in 2020 by Dr. Michael Kessler and Philipp Lyding, HERO Software initially set out to combat climate change. The company’s primary goal was to reduce carbon dioxide emissions by facilitating the installation of solar cells and heat pumps. However, the founders soon discovered a broader opportunity: creating a comprehensive platform to streamline workflows for tradespeople across various sectors, including plumbing, carpentry, and electrical services.
Addressing the Bottleneck in Energy Transition
Dr. Michael Kessler, a Green Party member with a PhD in solar energy, identified the building sector in Germany as a significant source of carbon dioxide emissions. He realized that tradespeople were the bottleneck in the installation of renewable energy solutions. To tackle this, HERO Software started providing leads for tradespeople to facilitate the installation of solar cells and heat pumps, aiming to accelerate the energy transition in Germany.
Evolution into a Comprehensive Platform
As HERO Software grew, it expanded its focus from solely promoting renewable energy installations to offering a full suite of tools for tradespeople. The platform now handles various aspects of business operations, including:
- Customer Contact: Managing initial interactions with customers.
- Project Planning and Execution: Organizing and overseeing projects on-site.
- Invoicing and Payments: Streamlining financial transactions and documentation.
Growth and Expansion
HERO Software’s platform has attracted 20,000 users in the DACH region (Germany, Austria, Switzerland). The company’s recent €40 million Series B financing round, led by Eight Roads Ventures with participation from Cusp Capital, positions it for further expansion. HERO plans to extend its services to Poland, France, and the Netherlands, where it sees significant growth potential due to varying levels of technological advancement in the trades sector.
Competitive Landscape
While companies like Jobber and ServiceTitan dominate the North American market, the European market for tradespeople platforms is less developed but rapidly growing. German startup Plancraft, for instance, recently completed a €12 million Series A funding round. HERO Software aims to capitalize on this growth by offering a comprehensive, user-friendly platform tailored to the needs of European tradespeople.
Investor Confidence
Lucile Cornet, a partner at Eight Roads Ventures, expressed strong support for HERO Software: “At Eight Roads, we have witnessed many successful stories in Vertical SaaS, and HERO stands out for its comprehensive product and experienced team. We strongly believe that vertical SaaS will enable entire industries to become more digital and sustainably successful.”
Future Outlook
HERO Software’s mission to fight climate change by empowering tradespeople has evolved into a robust business model with significant growth potential. By expanding its platform across Europe, HERO aims to facilitate the digital transformation of the trades sector, ultimately contributing to a more sustainable and efficient industry.
As the company continues to grow and expand its services, it remains committed to its original goal of reducing carbon dioxide emissions and promoting renewable energy solutions, while simultaneously providing valuable tools and resources for tradespeople.
