Orderful announced Tuesday that it has closed a $35 million Series C funding round led by Koch Disruptive Technologies, with continued participation from NewRoad Capital, according to a company announcement reported by FreightWaves. The investment is a direct bet against the legacy electronic data interchange (EDI) service model that has dominated global trade for four decades.
The Legacy EDI Model Under Fire
“EDI has been broken for 40 years,” said Erik Kiser, Orderful founder and CEO, in the announcement. “Not because the problem was unsolvable, but because no one was willing to rebuild it from the ground up.” The traditional model charges companies recurring fees to manage integration complexity that Kiser argues was never engineered out of the system.
SPS Commerce, the largest publicly traded pure-play EDI company, illustrates the incumbent model: it generated $751 million in revenue in 2025, 96% of it recurring, from customers who pay annually for a full-service model that includes software hosting, configuration, maintenance, and operations, according to the announcement. Grace Sharkey, PR and Comms manager for Orderful, told FreightWaves: “It is also a business whose revenue depends on complexity staying unsolved, where the service fee exists because the product was never built to make the service unnecessary.”
Orderful's AI-Native Solution: Mosaic
Orderful’s answer to the legacy model is Mosaic, an AI-native EDI solution launched in December 2025. According to the announcement, Mosaic reads each trading partner’s specification document, generates compliant guidelines and maps, and maintains them as specifications change. What historically took the industry three months or more now takes less than a week. Sharkey explained that the service fee loses its reason to exist.
“The Mosaic launch was a meaningful inflection point, one that reinforced everything we envisioned when we first partnered with the Orderful team,” said Gregoire Lehmann, partner at NewRoad Capital. “The opportunity ahead, connecting the world’s trading partners through modern infrastructure, is even larger than we anticipated, and we have full confidence they are the team to realize it.”
Results Across the Supply Chain
Orderful reported measurable improvements across its customer base. KBX Logistics, the transportation and logistics arm of Koch Industries, cut its onboarding process from 95 steps to 32 while processing millions of EDI transactions per month. “When operational teams stop managing EDI around its limitations and start running it as infrastructure, the results compound fast,” explained Sharkey.
Other logistics providers reported similar gains. The table below summarizes key before-and-after metrics:
| Company | Before Orderful | After Orderful |
|---|---|---|
| NFI | Onboarding: 10 weeks average | Onboarding: under 5 days (90% reduction) |
| Heartland Logistics Group | Customer onboarding: 6 months | Customer onboarding: 5 days |
| Hirschbach Motor Lines | 4 EDI outages in 45 days, nearly 500 lost loads, EDI team of 6 | Zero outages, EDI team reduced to 1 |
| Every Man Jack | On-time delivery: 97% (prior provider), then dropped to 80%; transaction processing up to 24 hours | On-time fulfillment recovered to >95%; transaction processing reduced to seconds |
For Every Man Jack, a men's personal care brand, the cost of legacy EDI showed up on the shelf. Sharkey explained that after migrating over 50 trading partners to Orderful in six months, on-time fulfillment recovered to above 95%, transaction processing dropped from up to 24 hours to seconds, and two open order management roles went unfilled after the team departed.
Strategic Backing from Koch
Koch Disruptive Technologies (KDT), the venture arm of Koch Industries, had already seen Orderful’s capabilities from the inside through KBX Logistics before committing capital. “KDT invests in principled entrepreneurs building technologies that improve critical systems and workflows. … We see an opportunity to leverage the broader Koch network to support the team as they scale and expand their commercial partnerships,” said Jon Chisholm, managing director at KDT.
The $35 million Series C positions Orderful to expand its AI-native platform against a legacy model that, according to SPS Commerce’s 2025 revenue of $751 million, still generates substantial recurring fees from complexity. Orderful’s customers demonstrate that replacing manual EDI management with automated infrastructure can cut onboarding times from months to days, reduce outages, and free up IT resources—while improving on-time delivery rates critical for consumer brands.
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