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Waterly is a water technology startup headquartered in Crystal Lake, Illinois, founded in 2017. The company specializes in providing a mobile-first, cloud-native software platform tailored for water and wastewater utility operators. Its core offerings aim to digitize outdated manual processes, such as clipboard-and-spreadsheet workflows, enabling efficient data collection, asset management, and compliance reporting. Key products include Rounds, which digitizes facility operations and integrates with SCADA systems or manual inputs; Assets, an integrated module acquired through the 2024 purchase of OpWorks; Analytics for data visualization and insights; and Samples for managing water sampling and lab data. The platform supports over 5,000 users across more than 1,000 water and wastewater systems, including major clients like American Water. Waterly serves a diverse customer base, from small rural utilities to large investor-owned and industrial systems, with pricing based on treated flow volume rather than per-seat licenses. This approach makes the software accessible and scalable, addressing the needs of over 80% of North American water systems that still rely on manual methods.
Funding History
Waterly’s funding journey reflects steady growth in the water tech sector. The company secured its initial Seed round in May 2021, raising an undisclosed amount from investors CivStart, an accelerator focused on civic tech, and Mazarine Ventures, a firm specializing in water innovation. This early capital supported product development and initial market entry. Prior to the latest round, Waterly had not disclosed additional funding events, maintaining a lean operation while scaling to thousands of users. The recent Series A brings the known total raised to $4 million, positioning the company for accelerated expansion.
Details of the Latest Funding Round
Waterly announced the closure of a $4 million Series A funding round. This marks the company’s first major institutional raise since its Seed funding, signaling increased investor confidence in its platform amid growing demand for digital water management solutions. The round was structured to fuel rapid scaling, with no public disclosure of valuation or equity terms. This investment comes at a pivotal time, as Waterly has already achieved significant milestones, including managing millions of data points and serving a broad spectrum of utilities.
Investors
The round was led by Burnt Island Ventures, a venture capital firm founded in 2020 that exclusively invests in water-focused entrepreneurs, addressing opportunities in the $1.4 trillion global water market. Burnt Island brings specialized expertise, having backed innovators in water data and infrastructure. Participating investor Emerald (Emerald Technology Ventures) is a Zurich-based firm established in 2000, managing over €1 billion in assets under management. Emerald targets sustainable industrial innovations, including water tech, and recently launched a €150-180 million Global Water Fund II in partnership with entities like Veralto to accelerate solutions across the water value chain. Both investors align closely with Waterly’s mission, providing not only capital but also strategic guidance in scaling digital tools for utilities.
Investor enthusiasm is evident in their statements. Christine Boyle, General Partner at Burnt Island Ventures, emphasized, “Clean, reliable water depends on good data, and Waterly makes that possible. Their approach takes the guesswork out of managing water systems—whether you’re running a major utility or a rural community plant—and brings the entire sector into the digital age.” Clayton MacDougald, Investment Director at Emerald, added, “Waterly is solving one of the water sector’s most entrenched problems with elegance and empathy: how to make digital transformation accessible to thousands of utilities still operating with pen and paper. Chris and his team have built an intuitive, secure and scalable platform that’s beloved by operators—and we’re excited to support their mission of bringing smart water tools to every corner of the market.”
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Use of Funds and Strategic Implications
The proceeds will primarily expand Waterly’s team, enhancing support for diverse clients ranging from large investor-owned utilities to small rural systems and industrial operations. This includes further development of features like asset management, data analytics, and sample tracking to derisk water operations and promote “Smart Water for Everyone.” Strategically, the funding enables broader market penetration in North America, where manual processes dominate, and positions Waterly to integrate advanced tools like enterprise data aggregation. CEO Chris Sosnowski highlighted the impact: “Waterly started with a simple belief: water operators deserve better tools. It’s been amazing to see how much we’ve been able to change with just a small team and a lot of heart. Now, with Burnt Island Ventures and Emerald in our corner, we’re ready to go even bigger—helping thousands more water and wastewater heroes do their jobs with less stress and more confidence to deliver safer, smarter service to their communities.” This round strengthens Waterly’s competitive edge in digitizing utility operations, potentially accelerating acquisitions like the recent OpWorks deal and fostering partnerships in the sustainability space.
Market Context
The funding arrives amid rising investment in water tech, driven by climate challenges, regulatory pressures, and the need for resilient infrastructure. With global water markets valued in trillions, digital solutions like Waterly’s address critical gaps in data-driven decision-making for utilities. Competitors in the space focus on similar digitization, but Waterly’s operator-centric design and affordable pricing differentiate it, particularly for underserved small-to-mid-sized systems. This round aligns with broader trends, such as Emerald’s water-focused funds, underscoring investor bets on technologies that enhance efficiency and sustainability in water management.
This Series A round propels Waterly toward becoming a leader in water utility software, with potential for further growth through expanded user adoption and technological enhancements. By empowering operators with intuitive tools, the company is poised to contribute significantly to safer, more efficient water systems across North America and beyond.
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