With corporations across the world taking a closer look at the effects their operations have on global climate change, investors are backing a crop of software and services that are cropping up to pull back the curtain on those climate impacts.
The latest of these to raise capital is The Climate Service, which just closed on $3.82 million in its most recent round of funding.
Interestingly, in addition to the traditional mix of venture investment firms and angel investors, the Durham, N.C.-based company also picked up a commitment from the Association of International Certified Professional Accountants.
Institutional capital, including Persei Venture and Synovia Capital also joined the round.
The company said it would use the cash to expand the scope of its climate scenarios, risks and asset classes monitored by its software service.
The Climate Service bases its models and pricing of climate risk on the framework developed by the Task Force on Climate-Related Financial Disclosures, which is used by more than 1,000 organizations around the world, according to the company.
“Investors, markets and regulators are increasingly requiring businesses to measure their exposure to climate change-related risk. As a result, we designed this fundraising round to enable TCS to respond to the demands of industries under pressure to understand, quantify and manage climate risk,” said David L. Jadow of Persei Venture. “We forecast significant continued growth for TCS, and we are proud to support the company’s vision and mission to embed climate risk into global decision-making.”