Austin-based startup MakersHub has raised $7 million in additional Seed funding, bringing its total funding to $11.5 million and positioning the company for significant growth in the accounts payable technology space.
The funding round was led by prominent investors QED Investors and TTV Capital, with participation from Dash Fund, TRB Advisors, and four angel investors. As part of the investment, QED Partner Laura Bock and Athletic Brewing Company CEO Bill Shufelt will join MakersHub’s Board of Directors.
Founded in 2021 by Wharton Executive MBA alumni Phong Ngo and Charley Howe, MakersHub has developed a data-driven accounts payable platform designed to streamline financial processes for businesses and accounting professionals. The company’s technology aims to capture comprehensive financial data, reduce processing errors, and generate meaningful business insights.
The startup has demonstrated impressive growth, boasting over 200 paying customers and a network of several thousand payees. MakersHub has reported more than 10x year-to-date growth across nearly all of its commercial metrics.
Company leaders plan to use the new funding to accelerate platform infrastructure investments and expand their sales and marketing teams. This strategic approach reflects the startup’s commitment to supporting its rapid customer acquisition and technological development.
“This funding will enable us to continue our mission of transforming accounts payable processes for data-driven businesses,” said a company spokesperson.
The investment highlights the growing market demand for innovative financial technology solutions that can help businesses optimize their financial operations and generate actionable insights.
Austin,-based enSights, a cloud-based clean energy optimization startup, has successfully raised $10 million in Series A funding, signaling strong investor confidence in the company’s innovative approach to renewable energy management.
The funding round was co-led by venture capital firms JAL Ventures and XT VC, with additional support from the Menomadin Foundation. This financial boost will enable enSights to expand its global presence, with a particular focus on establishing a stronger foothold in the United States market.
Founded in 2021 by renewable energy entrepreneurs Alon Mashkovich (CEO), Roy Fadida (CPO), and Dekel Yaacov (CTO), enSights has quickly become a leader in the distributed generation segment. The company’s AI-powered platform addresses a critical challenge in the renewable energy sector: the significant underperformance of photovoltaic (PV) assets.
“Over 70% of PV assets do not meet their forecasted output, losing thousands of dollars daily,” said Mashkovich. “Our platform provides a sophisticated yet user-friendly solution to optimize energy operations.”
The company’s platform currently manages over 6,000 clean energy assets across four continents, with hundreds of active users overseeing more than 1.6 gigawatts of power. The investment comes at a time of rapid growth in the clean energy market, with operations and maintenance software spending projected to increase from $40-$61 billion in 2023 to $67-$101 billion by 2027.
Tal Shaked from JAL Ventures highlighted the company’s unique positioning at the intersection of solar energy expansion, energy storage growth, and artificial intelligence. “enSights offers a modular, scalable design that solves real-world challenges in the energy sector,” Shaked noted.
The funding will support enSights’ continued technological development, market expansion, and efforts to streamline clean energy asset management. With this latest investment, the company is well-positioned to play a significant role in the global transition to renewable energy.
Todd O’Gara, the founder and executive chairman of Wanu Water, Inc., stands accused of orchestrating a sophisticated investment fraud that netted approximately $3.4 million from individual investors through a series of calculated lies and fabricated documents, federal prosecutors allege.
According to a detailed FBI criminal complaint, O’Gara systematically misled investors between August 2019 and May 2023, weaving an intricate web of false claims about his company’s financial prospects. The 44-year-old entrepreneur from Austin, is charged with wire fraud for allegedly deceiving investors through multiple fraudulent tactics.
False Claims and Fabricated Evidence
The most egregious allegations center on O’Gara’s misrepresentations about potential investments and retail orders. Prosecutors claim he:
O’Gara falsely claimed to have medical expertise, telling investors he developed Wanu Water to address malnutrition in developing countries
Fabricated purchase order information from a major national retailer
Circulated forged term sheets suggesting substantial private equity investments
Misrepresented the company’s valuation, claiming it was worth up to $30 million
Investor Targeting
The affidavit details O’Gara’s interactions with at least three individual investors:
Victim-1 from New Jersey invested $405,000 after being told about a potential $30 million valuation
Victim-2 from New York invested $500,000 based on false claims about pending large orders
Victim-3 from California and their family invested approximately $857,000
Financial Red Flags
Court documents reveal that Wanu Water was consistently losing money. In September 2019, the company was projecting losses of $3.77 million for the year. Despite this, O’Gara continued to solicit investments by creating an illusion of imminent success.
Potential Consequences
The wire fraud charge carries severe potential penalties, including:
Up to 20 years in prison
A maximum fine of $250,000
Potential additional financial penalties based on investor losses
Austin’s office market is experiencing significant turbulence as it posts the nation’s highest vacancy rate increase, highlighting the growing disconnect between development momentum and market demand in one of Texas’s fastest-growing cities.
The state capital recorded a vacancy rate of 27.7% — tied with San Francisco for the highest nationally — marking a dramatic 710-basis point surge year-over-year, the steepest increase among major U.S. office markets, according to CommercialEdge’s November Office Market report.
This spike comes as the city grapples with reduced office utilization and weakening demand, even as development continues at a breakneck pace.
The market’s challenges are further reflected in tumbling sale prices. After leading the nation in September, Austin’s average price per square foot dropped sharply from $379 to $287, relegating it to sixth place among leading U.S. office markets. This decline is exemplified by Equity Commonwealth’s recent $64.5 million sale of two significant properties — Bridgepoint Square and Capitol Tower — both sold at substantial discounts to their original purchase prices.
Despite these headwinds, Austin maintains its position as a development powerhouse. The city ranks first regionally and third nationally in office space under construction, with 3.5 million square feet in development, representing 3.7% of its existing inventory. Including planned projects, Austin’s office footprint is projected to expand by an ambitious 12.1%.
The city’s asking rents remain strong at $46.75 per square foot, the second-highest in the region behind Miami’s $52.84, suggesting that property owners are maintaining pricing power despite increasing vacancies.
Meanwhile, other Southern markets are showing resilience. Washington, D.C. has already surpassed its 2023 sales volume, recording nearly $2.5 billion in transactions through October. Dallas-Fort Worth secured the fifth position nationally with $1.1 billion in sales, while Atlanta reached the $1 billion mark in transactions, despite lower-than-average sale prices of $145 per square foot.
Miami emerged as a regional standout, commanding the highest sale prices in the South at $369 per square foot, second only to national leaders, with transaction volume approaching $1 billion through October.
As Austin navigates these challenging market conditions, industry observers are closely watching whether the city’s ambitious development pipeline will exacerbate its vacancy challenges or if strong economic fundamentals will eventually absorb the excess supply.
Ladder, the leading strength training app, has raised $105 million in Series B funding and secured an additional $90 million in growth investment from General Catalyst.
The Series B round was led by Point72 Ventures and ADvantage VC, with participation from Steve Pagliuca’s PagsGroup and previous investors Tapestry VC and LivWell Ventures.
The $105 million financing will drive Ladder’s expansion into new markets, product development, and customer acquisition, positioning the app to reach a global audience.
Based in Austin, Ladder is the number one iOS app for strength training. It is available as a $29.99 monthly subscription with a 7-day free trial.
The Series B funding will accelerate product development, including an Android version, enterprise wellness initiatives, and non-subscription offerings like branded apparel,
“Since day one, Ladder has combined community engagement with a deeply personalized fitness experience,” Jeremy Pressman of Advantage said in a news release. “This approach has made them the category leader.”
The $90 million from General Catalyst’s Customer Value strategy will focus on customer acquisition, enhancing Ladder’s ability to introduce its offerings to a wider audience without diluting equity or taking on additional risk.
“We believe Ladder’s blend of expert programming and motivational tools delivers real results, making it a perfect fit for our strategy,” said KV Mohan of General Catalyst.
Unlike static workout libraries, Ladder offers weekly strength-focused workout plans created by elite coaches. Members can choose from a variety of modalities, including HIIT, bodybuilding, kettlebell training, and yoga-infused routines.
“Our members stay with Ladder because it’s more than an app—it’s a supportive community and a path to meaningful fitness progress,” said Ladder CEO Greg Stewart.
The app boasts a 4.9 rating on the App Store, over 15 million completed workouts, and recognition as 2024’s Best Strength-Training App by Women’s Health and CNET.
Ladder aims to make strength training approachable for everyone, with 92% of users reporting increased confidence in their workout routines. The app is particularly popular among women and younger fitness enthusiasts, with 65% of members using it in gyms and at home.
Austin’s venture capital landscape shows signs of recovery, with area startups raising $978 million across 80 deals in Q3 2024, marking a 44% increase from last year, according to data presented at Austin Tech Week.
During a panel discussion at Capital Factory Wednesday, leading Texas venture capitalists discussed how the investment climate has evolved since the market correction in 2022. While deal activity remains below the peak levels in 2021, investors noted that valuations have stabilized, and a renewed focus on sustainable growth and profitability has been renewed.
Charlie Plauche, General Partner of S3 Ventures, moderated the panel. Panelists included Kerry Rupp, General Partner of True Wealth Ventures; Krishna Srinivasan, founding general partner of LiveOak Ventures; Morgan Flager, managing director of Silverton Partners; and Tom Ball, Founding General Partner of Next Coast Ventures.
“The world has flipped,” said Srinivasan with LiveOak Ventures, explaining that companies can no longer pursue growth at all costs as they did in 2021. Instead, investors are prioritizing underlying solid business fundamentals and capital efficiency.
Though with a distinctly Texas twist, the panelists highlighted artificial intelligence as a significant investment theme. Rather than competing with Silicon Valley on foundational AI models, Texas startups are finding success in applying AI to specific industries where the region has deep domain expertise.
However, challenges remain. Rupp, with True Wealth Ventures, noted that despite increased attention to diversity, only 2% of venture funding goes to all-women founding teams. However, mixed-gender teams have improved, reaching about 20% of funding.
Year-to-date, Austin startups have raised $2.3 billion across 268 deals in 2024, positioning Texas as the fourth-largest state for venture capital investment behind California, Massachusetts, and New York.
Other key takeaways:
Texas/Austin Market Status:
Texas is now the #4 state for VC funding behind CA, MA, and NY
Deal activity is recovering from 2023’s slowdown but not back to 2021 peak levels
Current Market Dynamics:
Company valuations have significantly decreased from 2021 peaks:
Top companies now valued at ~8x revenue (down from 40-50x)
Average companies at ~5x revenue (down from 20x+)
The focus has shifted from pure growth to balanced growth and profitability
Bridge rounds and inside rounds were common in 2023-24
Down rounds were frequent (20-24% of deals in 2023)
AI Investment Trends:
Creating a valuation divide between AI and non-AI companies
AI companies still commanding premium valuations (20-40x revenue)
Texas VCs focusing on:
Vertical AI applications with domain expertise
Enterprise software enhanced by AI
Advice for Founders:
Best ways to approach VCs:
Get warm introductions through seed investors, lawyers, or portfolio companies
Tailor outreach to specific firms/partners
Junior VC team members are valid entry points
When raising:
Be realistic about growth projections
Focus on capital efficiency
Demonstrate strong unit economics
Show a clear path to cash flow break-even
Don’t fixate on “triple, triple, double, double” growth at all costs
At an Austin Tech Week panel hosted at Capital Factory on Wednesday morning, emerging Venture Capital fund managers discussed why they’re betting on Austin and shared candid advice for founders seeking early-stage investment.
The “New VCs on the Block” panel, moderated by Perkins Coie partner Dan Austin, featured partners from several newer investment firms, including Firebrand Ventures, FirstMile Ventures, Rock Yard Ventures, and Runtime Ventures.
The investors highlighted Austin’s collaborative spirit as a key draw. “There’s this swell of energy, something happening here,” said Daniel Dart of Rock Yard Ventures.
FirstMile Ventures’ Zaz Floreani expanded this sentiment to Texas as a whole, noting that the welcoming atmosphere extends to Dallas and Houston’s startup scenes. According to Crunchbase, FirstMile Ventures focuses on seed and pre-seed investments in software, IT, and SaaS industries, primarily in Colorado. The firm has invested in 58 startups and raised $30.6 million.
For Runtime Ventures, which specializes in cybersecurity investments, Austin’s growing cybersecurity ecosystem makes it an attractive market. “More and more companies and cyber professionals are coming to town,” said David Endler, who’s lived in Austin for over 20 years. “The community here is collaborative, which isn’t true for every city.”
When discussing how founders should approach VCs, the panel emphasized authenticity over perfection. Floreani offered a “spicy take,” stating that VC value-add is often overstated. “Companies are built and sold by founders and their teams,” she said, suggesting that VCs’ principal value is helping companies prepare for future funding rounds and providing guidance during difficult times.
It’s tough to get funding, said Dart. Generally, the funder controls power dynamics. Rock Yard Ventures sees about 5,000 deals a year, and 10 of those are highly competitive, Dart said.
“The reality is like if people are gonna give you fucking money, take it,” Dart said.
According to Fundera, less than 0.05% of startup businesses receive venture funding.
The investors also addressed common questions about timing and prerequisites for funding. Claire Hansen of Firebrand Ventures explained that while definitions of funding stages are shifting, the seed sage typically means having a sellable product with some beta or full customers. At the same time, pre-seed usually involves companies that are still focused primarily on product development.
Firebrand Ventures, founded in 2016, has raised $57.7 million, with the latest $40 million fund announced in 2021. According to FundingTrip.com, it has invested in 27 companies in Austin, Boulder, Denver, Chicago, Des Moines, and Kansas City.
Regarding artificial intelligence, the panel agreed that not every startup needs to be an AI company. However, they look for founders who understand how to leverage AI to make their operations more efficient, regardless of industry focus.
The discussion concluded with practical advice for founders: know your target investors, do your homework, and understand that warm introductions still matter. Dart said, “If we think we can make money off you, that’s our job. We’re also very accessible – that’s also our job.”
In a candid conversation during Austin Startup Week, two of the city’s most influential tech entrepreneurs—Joshua Baer, co-founder of Capital Factory, and Brett Hurt, founder and CEO of data.world—shared their unique perspectives on Austin’s transformation from a sleepy college town to a major tech hub.
The Early Days: Bootstrap Austin
“When I was a kid, Austin was the size of Anchorage, Alaska today,” Hurt recalls, painting a picture of a much smaller city where tech was barely a blip on the radar.
In 2003, the two entrepreneurs first crossed paths at Bootstrap Austin, one of the city’s earliest tech meetups. At the time, the concept of bootstrapping – building a company without external funding – was gaining traction as software and SaaS made it increasingly feasible to launch tech companies with minimal capital.
The meetup scene was sparse then, with Bijoy Goswami’s Bootstrap Austin being one of the only gathering places for tech entrepreneurs. Today, Capital Factory alone hosts over 60 regular meetups, showcasing the explosive growth of Austin’s tech community, Baer said.
The Rise of Austin’s Tech Ecosystem
The conversation between Baer and Hurt reveals how Austin’s tech scene evolved through successive waves of innovation. Hurt’s journey with Bazaarvoice, which went public in 2012 with a billion-dollar IPO, marked one of Austin’s early major tech successes. The company pioneered customer reviews for e-commerce and grew from initial meetings at Capital Factory to over 13,000 customers worldwide.
“We’re living in the best age in Austin’s history,” Hurt emphasizes, pointing to the city’s current advantages: “massive diversity of capital and funds.” This marks a dramatic shift from the early days when Austin Ventures was the only primary funding source in town.
Challenges and Opportunities
Despite the tremendous growth, both entrepreneurs acknowledge Austin faces significant challenges. Hurt, a native Austinite, expresses concern about Texas politics potentially deterring talent and companies. However, he sees Austin’s unique position as a place where different viewpoints converge as both a challenge and an opportunity.
“Austin is one of the few places where these things are forced to converge and live together,” Baer notes, suggesting that it could be unstoppable if Austin can maintain dialogue and collaboration across different perspectives.
The Next Wave: AI and Future Growth
Looking ahead, both entrepreneurs are bullish on Austin’s future, particularly with the emergence of AI. “You are going to see more change in the next 10 years than you’ve ever seen in the entire history of technology,” Hurt predicts, noting that companies like data.world are at the forefront of this transformation.
The impact of Austin’s tech scene is already rippling across Texas. As Hurt observes, Austin is no longer just “the pot smokers” to people in Dallas and Houston—it’s become the envy of the state, producing leading businesses not just in tech but also in restaurants, music, and entertainment.
The Secret Sauce: Lifting Each Other Up
According to both entrepreneurs, Austin’s tech ecosystem’s most distinctive feature is its collaborative culture. This spirit of “lifting each other up” has attracted major investors like Jim Breyer and countless entrepreneurs to the city, Hurt said. It’s a culture that dates back to Austin’s early days and continues to differentiate it from other tech hubs.
“We live in the most amazing time to learn how to be an entrepreneur,” Hurt said, citing today’s founders’ abundant resources, capital, and tools. From the early days of Bootstrap Austin to the current AI revolution, Austin’s tech scene continues to evolve while maintaining its fundamental spirit of collaboration and innovation.
As Texas’s capital city looks to the future, its tech community’s success appears to be built not just on technological innovation but also on maintaining the delicate balance between rapid growth and preserving the collaborative, supportive culture that made it special in the first place.
“Also, you can chat with my book and get it online for free at https://www.theentrepreneursessentials.com/ – I think it was the first book that you could chat with (I ingested it into a custom OpenAI GPT on the very first day they launched custom GPTs),” according to Hurt.
Shokworks, the International Accelerator, and Austin AI Valley have launched the Austin AI Lab, a groundbreaking initiative designed to accelerate AI adoption and innovation across Texas.
The lab, opening on November 22 in downtown Austin, aims to support businesses of all sizes with practical AI resources, propelling local companies through digital transformations that can bolster Texas’s reputation as a tech powerhouse.
“We’re thrilled to launch this initiative in Austin, a city that wants to lead in tech innovation,” Alejandro Laplana, CEO of Shokworks, said in a newsletter. “By providing access to AI agents, model execution, workflow automation, and data analytics, we’re playing our part so Texas businesses don’t fall behind the AI curve. It’s about helping them cut costs and streamline operations.”
With an emphasis on real-world solutions, the Austin AI Lab offers a unique environment where small-to-medium enterprises (SMEs) and larger businesses can test, prototype, and refine AI applications suited to their needs. This collaborative venture integrates the strengths of Shokworks’ AI and digital transformation expertise, the International Accelerator’s guidance for startups, and Austin AI Valley’s dedication to ecosystem growth through academic, industry, and public-sector partnerships.
“By equipping business owners with the tools to become AI-native, we’re enhancing their competitive edge and strengthening the region’s already impressive pool of global entrepreneurs,” Angelos Angelou, Founder of International Accelerator, said in a news release. The lab’s offerings include a flexible, pay-as-you-go model, democratizing access to enterprise-grade AI tools without hefty upfront investment. Businesses can access sophisticated solutions typically limited to giant corporations through specialized offerings such as AI Agents as a Service, Workflow Automation, and Data Analytics.
The lab’s collaborative framework aims to drive Austin’s potential as a leading AI innovation center forward. Shokworks brings over six years of AI experience with over 150 product successes, offering local firms tools to leverage AI effectively. Meanwhile, International Accelerator will guide foreign-born founders in navigating the U.S. market, further enriching the lab’s support network. Austin AI Valley, a non-profit dedicated to AI ecosystem development in Texas, will foster connections with academia and the business community to support startups’ needs for education and collaboration.
Anupam Govil, Managing Partner of Avasant and Founder of Austin AI Valley emphasized the lab’s strategic importance for the region: “The power of AI has to be carefully harnessed via a robust strategy, along with an ecosystem of partners who can pilot, develop, and implement the right use cases. I am pleased that the International Accelerator and Shokworks have partnered to launch Austin AI Lab; this will be an important step toward making Austin the leader in applied AI.”
Austin AI Lab’s launch is timely, as Austin’s reputation as a growing tech hub aligns with an urgent need for adaptable AI solutions that can drive efficiencies across sectors. The lab’s mission to make AI accessible and actionable reflects a commitment to fostering innovation and empowering Texas businesses, advancing the regional economy and the future of applied AI.
In an inspiring panel discussion, successful women in technology shared their journeys from high school students to tech professionals, highlighting the transformative impact of the Code2College program on their careers.
Keatra Nesbitt, a volunteer instructor at Code2College and principal solutions engineer at Valkyrie, moderated the panel Monday morning at Austin Tech Week. Matt Stephenson, CEO of Code2College, was in the audience.
Kristy Lavache, operations specialist at H-E-B, participated in the Code2College program, as did Rocio Montero, student program coordinator at the University of Texas at Austin for Code2College, who is currently studying to become a data scientist.
Montero said the program’s comprehensive approach goes beyond traditional coding education. Through structured courses beginning with Python basics, students progress to advanced programming skills while simultaneously developing crucial professional capabilities.
Perhaps most remarkably, Code2College has established partnerships with major tech companies, enabling high school students to secure internships at prominent firms like Apple, Amazon, Sailpoint, and WP Engine. Nesbitt said these early professional experiences are invaluable in building confidence and real-world skills.
The impact of representation and mentorship emerged as a recurring theme throughout the discussion. “Having mentors who understand our struggles makes all the difference,” Lavache said. “It’s easier for us as younger people to connect with them and learn from their experiences.”
The program’s success has led to expansion through Vision 2024, an initiative specifically focused on supporting young women and African American women in tech, Montero said. Through workshops covering everything from time management to exploring various tech roles, Vision 2024 creates a supportive environment for aspiring technologists.
The panel’s advice to newcomers was both practical and encouraging. Lavache shared a particularly memorable story about temporarily disabling a work platform during her first three months on the job. She said a coworker told her “It’s okay to break things because that’s how you learn.” But now she tests new material in a sandbox which she created before deploying it to the platform everyone works on, she said.
For parents concerned about keeping young girls interested in STEM fields, the panelists highlighted how science and math are already present in daily life.
“STEM is a lot broader than what one may think,” Lavache said, suggesting that parents help children recognize how their everyday interests connect to STEM fields.
As the tech industry evolves, programs like Code2College are crucial in creating a more diverse and inclusive future. Through early exposure, mentorship, and practical experience, they’re not just teaching coding – they’re building confidence, breaking down barriers, and creating the next generation of tech leaders.
The program continues to accept volunteers and mentors, and industry professionals are welcome to participate as instructors and guest speakers. This ensures that its impact continues to grow and inspires future generations of women in technology.
