AI, Procurement, and Scaling SaaS in Construction

On this episode of The SaaS CFO Podcast, host Ben Murray sits down with Parspec CEO & Co-founder Forest Flager to unpack how AI is reshaping construction procurement and what it takes to scale a SaaS business in a traditional industry.

Key takeaways from the discussion:

• AI that reads specs, not just keywords. Parspec’s technology interprets detailed project requirements and identifies compliant products, helping distributors move faster and reduce errors.

• Land and expand strategy. Large distributors often adopt Parspec at one operating company before rolling it out enterprise wide, fueling strong net revenue retention and predictable growth.

• Usage based ARR. By tying pricing to documents created rather than seats, Parspec ensures fairness for both high volume quoting teams and mixed sales teams, while aligning cost directly with value delivered.

• Fundraising insights. Forest explains how nurturing referenceable customers and managing investor signaling were critical in securing $31M in funding.

• Roadmap ahead. Parspec is moving toward a full cycle procurement platform, adding material tracking and contractor portals for real time transparency into shipments and jobsite coordination.

The episode highlights the intersection of AI innovation and SaaS execution, showing how product market fit, usage based pricing, and expansion within consolidated industries can drive rapid adoption.

Listen to the full conversation on The SaaS CFO Podcast with Ben Murray to learn how Parspec is redefining procurement in construction.