Dear distribution innovators,
As we unplug and celebrate the holidays, our Christmas present to all of you is a way to save 4% on your freight and parcel bills!
We are excited to announce Applico Capital’s investment in Loop - the leader in freight intelligence.
The team at Loop is led by co-founder Matt McKinney, the former head of the Uber Freight’s data science team. Uber Freight needs to audit a lot of freight bills. And, Matt and his co-founder left Uber to solve that problem for all shippers.
Loop uses modern AI technology to automate freight and parcel invoice audits. Helping shippers capture, on average, 4% of savings on their freight bills by identifying billing errors and discrepancies.
In our conversations with distributors, many of them are not auditing their freight invoices at all. And, those that are auditing, still find errors slip through the cracks. Loop’s software minimizes the manual labor from freight audit to bill payment - creating an 80% labor efficiency while catching many more errors.
Don’t believe us? Watch it in action. This video is an example of Loop’s AI extracting data from a couple different invoices. Once the data is extracted, Loop reconciles it to make sure the invoice was prepared correctly.
After Loop audits the freight invoices, they have a bill pay functionality that helps shippers make money. Loop’s Quick Pay product offers the carrier (trucker) an ability to get paid instantly, in exchange for a discount. The shipper still pays on their same, standard net payment terms. JP Morgan finances the difference. And, provides a revenue share back to the shipper.
Loop’s Validation & Growth
Loop’s hockey-stick growth is a testament to the value it’s creating for some of the biggest logistics companies and shippers. One example, they are processing over $4 billion in payments to carriers in less than 2 years. That’s also a reason why JP Morgan led their Series B this past fall, contributing to over $60 million in equity capital raised.
Over $4 billion in payments to carriers in less than 2 years
Our team at Applico sees tremendous opportunities for Loop’s expansion into B2B distribution.
We are thrilled to collaborate with Matt and the Loop team in helping distributors save money on freight and gain efficiencies from audit automation.