Carbon Reduction Platform Climate Club Announces Launch with $6.5 Million in Seed Funding

People-powered carbon reduction platform helps companies achieve sustainability objectives

NEW YORK, September 28, 2022--(BUSINESS WIRE)--Climate Club, a carbon reduction platform that embeds sustainability into the employee experience, today announced its public launch with $6.5M in Seed funding led by XYZ Venture Capital and Vestigo Ventures with participation from Red Sea Ventures, MCJ Collective and additional strategic investors. Climate Club will use the funding to continue to expand its enterprise platform, which is now being used at global companies like Bain & Company and Meta to activate employees in achieving critical sustainability goals.

Climate Club was cofounded in 2021 by CEO Adam Braun, who previously founded Pencils of Promise and MissionU, and Chief Business Officer Philip Charm, who previously held leadership roles at Medallia, Gainsight and Checkr. The company is committed to reversing climate change, and does so by working with Sustainability leaders and heads of carbon-intense departments, like Corporate Travel, at large enterprises to drive carbon reduction and maximize the business impact of climate action across every department, team and employee.

"Too often, corporate sustainability programs are limited to purchasing clean energy and buying offsets. Those centralized actions leave out the organization’s most powerful component — its people. People-powered carbon reduction means that every employee is engaged in the journey to Net Zero. Climate Club provides the solution to these intersecting challenges by providing employees with the role-relevant tools, resources and data to accurately capture and reduce Scope 3 emissions while providing 24/7 real-time visibility into sustainability performance across all areas of a business," said Adam Braun, CEO & Co-Founder of Climate Club.

Companies representing more than $38T in market cap have committed to science-based targets of 45% emissions reduction by 2030. While more companies are reporting on their carbon footprints, Net Zero reduction targets typically cannot be met without activating the employee base whose day-to-day decisions and actions drive the results. In fact, CEOs rank sustainability as the #1 challenge for their organizations, according to a recent survey from IBM.

"Climate Club is the ideal partner to help us translate our climate goals into action," said Sam Israelit, Partner and Chief Sustainability Officer at Bain & Company. "By engaging our employees across teams, functions and offices, we are able to take a unified approach to bring sustainability into the employee experience — and do so in line with the urgency this problem demands."

The company’s platform operationalizes measurable carbon reduction through distributed goal setting, training, playbooks with trackable actions, rewards and recognition. The platform is fully configurable to meet the use cases of companies and functional business units across multiple industries, and their API-first software platform works in partnership with carbon accounting and other sustainability solutions providers.

Climate Club has also built a rapidly expanding partner network of sustainable companies focused on reducing emissions across different areas of the enterprise. Examples include Lyft in transportation, Google Nest in efficient energy and sweetgreen as the featured launch restaurant.

Beyond the impact to our environment, sustainability improves the bottom line — unlocking cost savings, enhancing revenue, and improving employee engagement and retention. Companies that prioritize sustainability outperform peers in the public markets, and a study by HP, who reported $3.5B in realized revenues from sustainability impact efforts in 2021, showed that 96 percent of workers at companies that prioritize sustainability would recommend their employer.

"There’s no team better equipped than Climate Club’s to take this all-hands-on-deck approach to meet corporate carbon reduction goals," said XYZ Venture Capital partner Chauncey Hamilton. "It will truly take the collective village to reverse climate change, and Climate Club will be an essential tool for sustainability leaders and companies to deliver on their commitments."

ABOUT CLIMATE CLUB

Climate Club embeds sustainability into the employee experience at leading companies and drives Net Zero emissions across every department, team and employee. Our software platform is purpose-built to reduce carbon emissions, save costs, increase revenue and retain talent in alignment with Net Zero targets and strategic business goals. We work with some of the most recognizable companies in the world to help them maximize the impact of sustainable actions across their business.

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Chelsea Allison
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