Baden-Württemberg-based B2B tech startup PartsCloud has raised €5 million in Seed funding to streamline spare parts management for mechanical engineering firms.
Investors in the round include Newion, MBG, and SquareOne.
“Most companies still rely on Excel spreadsheets for spare parts planning. What has been missing so far is a data-driven solution that enables proactive planning,” says Benjamin Reichenecker, Founder and CEO of PartsCloud. As an industrial engineer, he speaks from experience, having worked in the management of a mid-sized mechanical engineering company for six years. “For small and medium-sized companies, managing spare parts without digital support has been extremely labor-intensive.”
Founded in 2021 by Benjamin Reichenecker and Fabian Gemmecke, PartsCloud is tackling inefficiencies in spare parts logistics by offering a fully digitalised solution that automates inventory forecasting, customs processing, and logistics management.
The challenge of spare parts logistics is a significant one—according to PartsCloud around 80% of spare parts stored in factory warehouses are never used and eventually discarded. Traditional ordering methods in German mechanical engineering still rely on “gut feeling” and “outdated systems“, leading to stock shortages and excess inventory.
PartsCloud aims to change this by offering predictive planning tools that optimise stock levels and streamline procurement.
PartsCloud’s platform is already in use by over 25 companies across Europe and the USA. Its AI-powered planning solution reduces inventory costs by around one-third, while automated workflows cut internal process costs by up to 79%.
“Working with PartsCloud has significantly improved our efficiency and accuracy in spare parts management. Thanks to PartsOS Inventory, we’ve reduced manual planning efforts by over 85 percent and significantly enhanced spare parts availability,” said Christian Meisen, Head of the Global Service Center at WEINIG Group.
Investors see strong market potential in PartsCloud’s offering. “In a market under economic pressure and facing a skilled labor shortage, spare parts management has become a critical revenue factor for machinery manufacturers. However, outdated systems and inefficient processes are holding many companies back. PartsCloud, led by an experienced founding team, offers the essential tools for efficient spare parts management, enabling SMEs to remain competitive and meet global demand swiftly and accurately,” said Leopold Lindner, VC Investor at Newion.
With the new funding, PartsCloud plans to enhance its AI-powered inventory planning software, which already boasts a 30% lower error rate compared to traditional methods. The company will also use the investment to expand into new markets, including Asia. To date, PartsCloud has raised a total of €7.5 million.
PartsCloud’s software is designed for seamless integration into existing business structures. Through a plug-and-play connection with enterprise resource planning (ERP) systems, the platform centralises procurement and distribution. The system also connects companies with logistics partners, customs agencies, and transport service providers, automating key processes and reducing administrative burdens.
COO Fabian Gemmecke calls it “a worry-free package.” Moreover, the software is user-friendly. “There’s no need for dedicated logistics or planning departments, which smaller companies often can’t afford.”
By eliminating inefficiencies in spare parts management, PartsCloud is positioning itself as an innovator in the mechanical engineering sector, helping businesses optimise their supply chains and cut costs.
Read the orginal article: https://www.eu-startups.com/2025/02/partscloud-secures-e5-million-to-digitalise-spare-parts-management/
