Proven Sustainability Software Vendor FigBytes Raises Funding To Ride The ESG Wave

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Proven Sustainability Software Vendor FigBytes Raises Funding To Ride The ESG Wave

Sustainability software vendor, FigBytes, has announced an undisclosed investment from Quantum Energy Partners and Global Reserve Group. Founded in 2009, FigBytes is headquartered in Quebec and boasts an international client base that includes Ford Motor Company, National Bank of Kuwait and University of Strathclyde in Scotland. The cloud software solution provides a broad range of engagement modules to embed sustainability metrics into strategic planning, performance management systems and external reporting. The system is designed with data modules for most ESG issues with particular depth in the environmental and social categories. Figbytes also offers a portfolio of sustainability management tools for materiality assessments, strategy mapping, benchmarking, KPI tracking and alignment with UN Sustainable Development Goals.

The FigBytes funding reflects a surge of interest in a broad swathe of ESG, climate change and sustainability technology solutions. A recent Verdantix study identified more than 40 vendors active in the corporate ESG and sustainability software market offering solutions across climate change, risk management, performance improvement, product stewardship and disclosure management. Buyers of ESG software are beginning to evolve from sustainability leaders who need GRI and SASB report builder tools towards executives seeking more granular real-time data that influences strategic business decision making. While voluntary disclosures and regulatory requirements will continue to play a major role in shaping the ESG software market, the ever-increasing scrutiny by investors on sustainability risk management will require significantly improved ESG information management systems. Vendors like Figbytes are raising money to maximize their wallet share in the race to deliver investment-grade ESG disclosures and management information.

Where is this heading? The next three years will witness a battle for ESG market share worthy of a Lord of the Rings movie. Vendors like Figbytes have a proven ability to deliver sustainability solutions for Fortune 500 customers but will face a range of opponents on the ESG battlefield. EHS vendors are leveraging their position as a system of record for environmental and social data to claim a leading role in the ESG space in industrial sectors. GRC vendors are slowly waking up to the fact that they can push out of their governance and IT risk bastions into a multitude of social metrics. At the same time, there is a horde of GHG emissions management, carbon accounting and ESG software start-ups who are raising $10 million in Series A rounds with big promises built on new concepts and new product architectures. The good news for customers is lots of choice. The bad news? A very confusing market. To find the right solution attend the forthcoming Verdantix webinar “ESG & Sustainability Software: 2021 Benchmark & Investment Recommendations”.

Sam Renshaw

Industry Analyst

Sam is an Industry Analyst in the ESG & Sustainability practice. His current research agenda focuses on ESG solutions across financial markets including ESG information providers and sustainability consulting. Sam joined Verdantix in 2021, and previously worked at Moody’s Analytics as part of the Buy-Side Solutions team. He holds a BSc from The University of Nottingham in Economics and is a CFA Level 2 candidate.