Supply Chain AI Startup Loop Raises $95M Series C to Expand Logistics Platform

Quick Facts

• Loop raised $95 million in Series C funding led by Valor Equity Partners and the Valor Atreides AI Fund
• The company’s DUX AI platform achieves over 99% touchless automation for freight invoice processing
• Loop processes invoices in hours while traditional methods require weeks, addressing a $2 trillion freight market

Supply chain AI startup Loop secured $95 million in Series C funding to expand its logistics intelligence platform across enterprise markets. Valor Equity Partners and the Valor Atreides AI Fund led the round, with participation from 8VC, Founders Fund, Index Ventures, J.P. Morgan Growth Equity Partners, and Tao Capital Partners.

The Chicago-based company will use the funding to deepen product capabilities, expand engineering teams, and invest in AI talent. Loop plans to address broader enterprise use cases and build deeper integrations across financial, operational, and logistics systems.

Loop tackles a massive inefficiency in freight processing. Research shows 20% of all freight invoices contain errors, and companies take an average of 50 days to process and pay a single invoice. Experts estimate businesses overpay by up to 2% to ship goods by truck due to these inefficiencies.

The DUX Advantage

At Loop’s core sits DUX, a logistics-trained foundation model built specifically for supply chain complexities. Unlike generic large language models, DUX understands the unique context, layout, and language of logistics documents. The system processes high-resolution images to read fine print, stamps, and handwritten notes that standard OCR technology misses.

“We see every day how much pressure companies are under to manage supply chains through constant disruption, and how often critical decisions are still being made on top of fragmented data and brittle systems,” CEO Matt McKinney said. “This investment lets us expand our platform and connect the financial and operational data that our customers need to make better decisions, faster.”

DUX achieves over 99% touchless automation without errors, processing invoices in hours compared to the weeks required by traditional methods. While most of the industry manually touches every invoice, Loop reduces manual intervention to less than 1%.

Market Timing and Competition

The funding comes as supply chains face volatility from tariffs, supplier diversification, and rising energy costs. These pressures compound existing challenges with legacy systems and limited operational visibility.

Loop competes in a growing market of AI-powered logistics startups. Deliverr founder Harish Abbott raised $85 million late last year for freight automation. Former Google and LinkedIn engineers launched Amari AI in February to modernize customs broker systems.

Loop’s customer base spans healthcare, food services, retail, and consumer goods. One customer reported eliminating manual workflows entirely: “We now have perfect shipments where we retrieve documents, categorize, audit, and approve an invoice within 13 minutes.”

McKinney and co-founder Shaosu Liu developed the concept while working at Uber Freight, where they identified the massive inefficiencies in freight invoice processing. Ryan Petersen, Flexport’s founder and CEO, serves as an early investor.

“Loop went deep into one of the hardest parts of the supply chain and turned it into an advantage for their customers,” said Antonio Gracias, founder and CEO of Valor Equity Partners. “Through the AI systems they’ve built, they’re taking data that was previously fragmented and inaccessible and are turning it into intelligence.”

Read more: Supply chain AI startup Loop secures $95M investment