Patchworks has raised £5 million to push deeper into North America and bring new AI tools to its retail integration platform as it targets its next stage of growth.
The Nottingham-based company connects retail systems that often fail to talk to one another.
This helps brands to avoid the kind of data chaos that has historically caused stock errors, late deliveries and lost sales.
The new funding round, led by Gresham House Ventures with growth lending from Palatine Growth Credit, follows a 41% year-on-year rise in recurring revenue.
“This follow-on investment is a huge vote of confidence in our platform and our strategy,” said Jim Herbert, CEO of Patchworks.
“Retailers and brands need flexible, future-proof infrastructure to stay competitive, and Patchworks gives them the power and speed they need.
“We’re doubling down on the US market, scaling our partner ecosystem, and continuing to enhance the platform with AI and other innovations so our customers can connect, adapt and grow faster.”
The firm plans to spend the cash expanding sales and marketing, ramping up in the US and accelerating product development – particularly AI features that could allow large language models to query live commerce data directly.
The company says this will reduce manual tasks and free teams to focus on growth rather than maintenance.
Its ‘partner flywheel’ remains central to its growth plan. The model encourages technology vendors and digital agencies to resell and implement the platform, helping Patchworks extend its reach without building a large in-house services arm.
Caroline Tulloch, investment director at Gresham House Ventures, added: “Patchworks has gone from strength to strength since our first investment in 2021.
“The business has invested smartly in its product and platform, building strong fundamentals and a clear path to scale.
“This additional investment will help accelerate that growth, particularly in North America.”
UrbanChain partners with Believ in boost for clean energy sector