PartsCloud digitizes spare parts management
German B2B tech startup PartsCloud secures a €5 million seed funding round from Newion, MBG, and SquareOne. PartsCloud is the only all-in-one platform for end-to-end spare parts management in the mechanical engineering sector. More than 25 customers across Europe and the United States are already working with the B2B tech startup.
Pliezhausen, February 5, 2025.
Approximately 80% of spare parts held in factory warehouses are never consumed and are eventually scrapped. A direct consequence of procurement decisions still driven by gut instinct rather than data in far too many German mechanical engineering operations. B2B tech startup PartsCloud is the first provider to digitize the complete spare parts management process. From demand planning and customs clearance through to warehouse logistics. By leveraging precise AI-driven forecasts, the platform eliminates both stockouts and excess inventory positions, automates customs processing, and centralizes all logistics workflows on a single platform. This innovation has now also convinced investors: PartsCloud has secured €5 million in its seed financing round from Newion, MBG, and SquareOne.
When a critical spare part is required on the production floor, every minute of machine downtime translates directly into financial loss. The faster the failed component is replaced, the lower the cost impact. "Most companies still rely on Excel spreadsheets for spare parts planning. What has been missing until now is a data-driven solution that enables truly proactive, forward-looking planning," says Benjamin Reichenecker, Founder and CEO of PartsCloud. The industrial engineer speaks from direct operational experience, he spent six years in the management of a mid-sized mechanical engineering manufacturer. "For small and medium-sized enterprises, managing spare parts without digital tooling has historically been an enormous operational burden."
Ordering Spare Parts as Simply as Any Other Online Purchase
Benjamin Reichenecker and co-founder Fabian Gemmecke founded PartsCloud to solve exactly this problem.
The mission: Spare parts procurement should be as straightforward as any standard e-commerce transaction, fully digital and accessible worldwide at any time. For their customers, predominantly mechanical engineering manufacturers, the results are measurable. PartsCloud already works with more than 25 customers across Europe and the United States. Automated workflows reduce internal process costs by up to 79%. Inventory holding costs are reduced by approximately one third through the AI-powered planning solution. "Working with PartsCloud has significantly improved our efficiency and accuracy in spare parts management. With PartsOS Inventory, we were able to reduce manual planning workload by more than 85% and substantially improve spare parts availability," says Christian Meisen, Head of Global Service Center at the WEINIG Group.
€5 Million from Marquee Investors
The product and its market fit have convinced prominent investors to commit capital at scale. "In a market under economic pressure and facing acute skilled labor shortages, spare parts management has become a critical revenue driver for machinery manufacturers. Yet outdated systems and inefficient processes are holding many companies back. PartsCloud, led by an experienced founding team, provides the essential tooling for high-performance spare parts management enabling SMEs to remain competitive and fulfill global demand with speed and precision," says Leopold Lindner, VC Investor at Amsterdam-based Newion.
The investment will be deployed to further develop PartsCloud's AI planning software. The platform's predictive inventory analysis already delivers a 30% lower error rate compared to conventional planning methodologies enabling early identification of spare parts demand based on historical data, trend signals, and seasonal consumption patterns, systematically preventing both stockouts and overstock positions. PartsCloud will also use the funding to expand into new markets, including Asia. Since its founding in 2021, the Baden-Württemberg-based company has now raised a total of €7.5 million.
Seamless Integration into Existing Operations
The all-in-one software integrates with minimal implementation effort: existing ERP systems connect to PartsOS via a plug-and-play interface. The software then orchestrates the complete procurement and distribution process replacing fragmented point solutions and multiple stakeholders with a single, centralized digital platform. PartsCloud integrates and digitally connects a network of third-party providers, including logistics partners, customs brokers, and freight carriers. COO Fabian Gemmecke describes the result as "a complete, worry-free operational package." The platform is also designed for ease of use: "A dedicated logistics team or planning department, which smaller companies typically cannot afford, is simply not required."
About PartsCloud:
PartsCloud is a B2B tech startup founded in 2021 by engineers Benjamin Reichenecker and Fabian Gemmecke in Pliezhausen, Baden-Württemberg, with the mission of making spare parts management more efficient for industrial manufacturers. The all-in-one software solution connects companies with logistics and software partners, customs brokers, and freight service providers. These partners handle warehousing, outbound shipment, and returns processing, while PartsCloud digitally orchestrates the entire end-to-end process. The goal: reduce time and cost, and automate procurement workflows at scale. PartsCloud functions as an intelligent control hub operating between manufacturers and their service partners ensuring supply chains run smoothly and cost-efficiently.
About Newion:
Newion was founded in 2000 and is an Amsterdam-based software investor focused on startups across Northwestern Europe. With its fourth fund of €120 million, Newion invests as (co-)lead investor in seed and Series A financing rounds. Newion supports founders across Europe from day one, helping them achieve product-market fit and scale toward market leadership. The portfolio includes companies such as Collibra, Deliverect, and Parloa. Newion 4 is supported by the European Union through the InvestEU Fund.