Procure AI, a provider of AI-driven procurement software, has raised £10m in seed funding. The round was led by Headline, with participation from C4 Ventures, Futury Capital, and several angel investors with procurement backgrounds.
Procurement teams are under pressure to operate with fewer resources. Around 47% of B2B buyers cite operational complexity as a challenge, while 90% of companies report that headcount, budget and skills gaps limit their ability to modernise their operations. Rising costs, delivery uncertainty, and regulatory requirements are adding further strain. Recent US tariffs, including a broad levy and higher duties on specific countries, have also increased uncertainty for international supply chains. As a result, many organisations are looking to automation to improve resilience and efficiency.
For large enterprises, external supplier costs typically account for 60–75% of revenue. Even small efficiency improvements can have a material impact. Research from the Hackett Group suggests that AI-enabled procurement programmes can deliver productivity, quality, and cost improvements of up to 10%, with digitally mature teams achieving materially lower processing costs over time.
Founded by Konstantin von Bueren and Yves Bauer, Procure AI provides a platform designed to reduce manual procurement work and improve visibility across workflows. Rather than replacing existing systems, the product connects to current procurement tools and brings data together in one environment. The platform is hosted on dedicated infrastructure and is designed to support both operational automation and reporting.
The software includes a collection of AI tools that support different types of procurement activity, including task automation, decision support, and workflow monitoring. It covers sourcing, contracting, purchasing, and invoicing. Key products include automated spot buying and tactical sourcing, which customers report can reduce cycle times by 35–46% and deliver savings of 3.7–5.2% per sourcing event. Quote-to-order intake allows around 60% of requests to be handled automatically.
Over the past year, the company reports 4× revenue growth. Procure AI employs more than 40 people across London, Paris and Frankfurt, and works with enterprise customers including EnBW and Kärcher. According to the company, customers have seen processing time reductions of up to 30% and incremental savings above 5%. One customer example indicates annual savings of €2.35m from automated sourcing on a tail-spend volume of €70m.
The new funding will be used to grow the engineering team and expand commercial operations. In addition to its existing DACH presence, Procure AI plans to grow in the UK, Nordics, Benelux and France. The expansion comes as AI adoption across enterprises continues to rise, with 78% of organisations now using AI in at least one business function. Many manufacturers, distributors and retailers are reassessing suppliers, costs and sourcing strategies, and procurement automation is increasingly part of that process.
