Budderfly Receives $5 Million in Financing from Connecticut Green Bank
Connecticut-based Budderfly helps franchises and other businesses improve their energy efficiency, lowering their operating costs
Hartford, CT (June 28, 2022) – The Connecticut Green Bank today announced $5 million in secured loan facilities to support the market expansion of Budderfly, a Connecticut-based company providing a unique energy management solution. Budderfly has provided its energy and cost saving services to over 80 Connecticut businesses, primarily quick service restaurants, convenience stores, and healthcare facilities, and intends to use the loan to continue to expand its Connecticut customer base.
“We are proud to be a Connecticut company and leading clean technology business in the state,” said Al Subbloie, Founder & CEO of Budderfly. “Our business was built very intentionally around the dual goals of saving money and lowering carbon emissions for small and medium-sized businesses. Over the past fifteen years, we’ve achieved these goals for nearly 100 Connecticut businesses. Among our top achievements in the state, Budderfly is helping Ryders Health Management’s Mystic Facility hit near net-zero carbon emissions through energy efficiency and on-site renewables at no up-front cost. We look forward to continuing to grow our scale and impact with the support of the Connecticut Green Bank. With their recent support, we’ve now raised over $100 million in capital to serve our customers and scale our business.”
Budderfly’s model is uniquely simple. Budderfly provides energy-saving equipment for its customers, assuming responsibility for logistics, up-front capital, and other associated risks for the business owners it serves. Budderfly brings extensive knowledge of energy-saving technologies for refrigeration, lighting, HVAC, and more as well as tremendous experience retrofitting spaces to bring immediate energy improvements to its customers. Budderfly then keeps the buildings it services running smoothly with 24/7 monitoring, analytics, and ongoing maintenance.
The company was awarded the funding through the Green Bank’s Capital Solutions Open RFP, which is open to companies and technologies that have proven commercially viable or have strong business models, with the ability to rapidly achieve sustainable impact at scale. A significant portion of Budderfly’s existing portfolio is in Connecticut, and it is committed to maintaining and growing its in-state customer base.
“The Green Bank is excited to support Budderfly’s innovative and successful approach to addressing energy waste in commercial businesses,” said Bert Hunter, Chief Investment Officer of the Connecticut Green Bank. “We see our participation as supplementary and complementary to the existing financial support from private capital and other Connecticut government funding for a local based company in the process of achieving significant scale in the energy as a service sector in the commercial market, particularly with small business franchise operations that have unique challenges when it comes to investing in energy efficiency.”
The Connecticut Green Bank provided Budderfly with a six-year $5 million loan. Connecticut Innovations, the state’s venture capital arm, has invested $5.6 million since June 2019. The Department of Economic and Community Development has also provided loan capital to Budderfly tied to achieving economic development goals for the state.
The Green Bank believes that continued discussions with Budderfly will attract additional commercial bank partners and lower its cost of capital, to further expand its environmental and economic impact in Connecticut.