Smalt Raises €8 Million to Train Skilled Workforce for Energy Transition
Berlin-based Smalt, which has built a talent development and technology services platform for the green energy sector, announced that it had raised €8M in a pre-emptive seed funding round.
The funds will be used to accelerate the company’s growth in providing solutions to address the lack of manpower for the installation of renewable energy systems in commercial and residential properties, a widespread labor supply challenge in the European climate tech sector.
Established in September 2023, Smalt offers on-demand installation services to its partners across Germany, as well as subcontracting services and full-service solutions including consultation and financing. In addition, Smalt has launched its own, accredited academy in Berlin, as well as at 4 hubs throughout Germany, aiming to scale through a continent-wide network of franchised installation and servicing stores led by experienced leaders from its own workforce, local entrepreneurs, and experienced trades workers. The company has already built more than 200 PV systems, including for large commercial and multi-family buildings. Customers include over a dozen of Germany’s leading energy, clean-tech installation and OEM companies such as Thermondo, Otovo and Enviria in residential and commercial projects.
Smalt seeks to solve the shortage of skilled professionals needed to install and service climate tech products, one of the biggest challenges holding back Europe’s transition to cleaner energy. Smalt is tackling this issue with its workforce development and service delivery platform, which increases labor supply and productivity at scale. Individuals trained by Smalt will be able to embark on careers addressing one of the Continent’s most important needs. Among those being trained in the company’s academic program are new immigrants, who will be able to use the skills they learn to more fully participate in Europe’s economy.
Marius Westhoff, Co-Founder and Managing Director of Smalt, said:
“Our franchise platform enables the European craft ecosystem to work more efficiently and thus strengthens European sovereignty in the renewable energy sector. The new financing will accelerate our growth in the commercial solar and maintenance segment.”
The round was led by noa (formerly A/O), Europe’s largest VC investing in human-built environments and infrastructure, along with existing investors General Catalyst, Owl Ventures, and Heartfelt (formerly APX). Noa earlier this year helped climate risk intelligence company Climate X raise $18 million in Round A funding.
Arjun Jairaj, Investor at noa, said:
“The shortage of skilled workers is a key bottleneck in Europe’s energy transition. Smalt offers a holistic approach to tackling this problem by attracting fresh talent into the industry and expediting their entry to the jobsite by blending digital and on-site training, and combining this with a technology platform to ensure repeatable high-quality service delivery.”