Seven Australian startups to watch in 2024
Each December, the SmartCompany editorial team puts together a list of startups we will be paying close attention to in the new year.
December 19, 2023
Each December, the SmartCompany editorial team puts together a list of startups we will be paying close attention to in the new year.
Some have recently raised capital, others have released exciting new products and entered into transformative partnerships. Every one of them is working hard to solve a big problem.
From a precision fermentation facility in Orange, New South Wales, to zero-waste products on the shelf at your local pharmacy and insect robot farms dotted around the country, this list highlights some of the most exciting startups Australia has to offer.
While much of what 2024 has in store for us is uncertain, one thing we know for sure at SmartCompany is the future is bright for these founders.
1. Goterra
In pole position in our list of startups to watch in 2024 is robotic insect farm startup, Goterra.
Goterra is not a new kid on the block – it was founded by former sheep farmer and entrepreneur Olympia Yarger in 2016 – but the growth of its on-site facilities, and global expansion plans, means we’ll be keenly watching the Canberra-based startup’s progress in 2024.
Goterra’s annual revenue is close to $2 million, and the startup raised another $10 million earlier this year to further scale its robotic maggot farms that transform organic waste into animal feed.
This will no doubt be aided by its new $3.5 million waste facility in Wetherill Park in greater western Sydney, which will be fully contracted by supermarket giant Woolworths and waste management company Cleanaway. That facility alone is expected to help divert organic waste from more than 200 Woolies stores and turn some 6000 tonnes of food waste into animal feed each year.
Now with seven locations across four states, Goterra revealed a partnership with Brisbane’s Howard Smith Wharves precinct in November, which will involve transforming waste generated by 13 restaurants, cafes, bars, event spaces, and a hotel.
In November, Goterra also won the Sustainability category of the 2023 Smart50 Awards.
Smart50 judge Michel Hogan described Goterra’s solution for tackling industrial food waste as a “standout innovation”, which has won the support of major operators like Woolworths.
“Food waste is a significant and growing problem… and by-product fertiliser and protein-laden meal-worm food for animals closes the eco loop,” said Hogan.
2. Blossom
Self-employed Australians are highly sensitive to economic volatility. Fintech startup Blossom asks a simple question: is there a way to shield their retirement savings from drastic share market movements?
Blossom, founded by sisters Gaby and Ali Rosenberg, exposes users to the world of fixed-income investments. Typically the preserve of institutional investors with deep pockets, Blossom allows retail investors to access a portfolio of bonds, which are broadly seen as less volatile than shares.
“Fixed income has offered a ballast of stability amidst high market volatility this year and we have seen increased demand for stable returns,” Gaby Rosenberg said in November.
Blossom says investors can get started for as little as $5, tapping into a ‘Blossom Fund’, which is managed by Fortlake Asset Management.
Notably, the startup recently expanded its app platform to welcome self-managed superannuation funds and SMEs looking to access the fixed income market.
It is still early days for its SMSF and SME offerings; Blossom last month said its SMSF stream has $844,000 in funds under management.
And, just to be clear, this is not financial advice: entrepreneurs considering their retirement savings options should consult a professional advisor.
However, Blossom’s new offering, and the way it mirrors popular retail investing apps, makes the startup one to watch in 2024.
3. Wander
Wander, the hospitality startup founded by Cassandra Sasso, is something akin to a decentralised hotel chain: it designs, installs, and manages miniature suites across the map.
Central to Wander is the WanderPod, which promises a boutique accommodation experience in a shelter roughly the size of a shipping container. The startup pledges many of the mod-cons expected from today’s upmarket traveller, like a king-sized bed, 4G internet, and in some cases, a solar-powered dishwasher.
The real appeal, however, lies just outside the WanderPod: how many hotel rooms offer an outdoor bath with an unrestricted vista to the Great Australian Bight?
It also addresses two markets at once. On one hand, its accommodation options give tourists the chance to relax in some of Australia’s most pristine landscapes. On the other, it allows landowners to turn their property into a luxe escape destination.
Two WanderPods are currently in operation in Kangaroo Island, South Australia, and in Queensland’s scenic rim. Sasso plans to use almost $1 million in equity crowdfunding support – including financial backing from AirBnB’s former Australian chief – to expand across the Grampians, Snowy Mountains, and Flinders Ranges.
Startup, drop in, chill out.
4. Cauldron
The answer to modern problems may lie in ancient solutions. Ask Michele Stansfield, the founder and CEO of Cauldron, a startup using the timeless art of fermentation to create the ingredients of tomorrow.
Cauldron is a pioneer in precision fermentation – the fine-tuned, accelerated, and replicable use of natural biochemistry. The startup, based in Orange, New South Wales, intends to create nutritious compounds, at scale, for use in new and innovative foods.
Its work goes far beyond the beer or kimchi familiar to many Australian households. Nourish, another Australian startup recently debuted a ‘chicken’ drumstick made entirely of plant-derived ingredients. The animal-free fat that won over taste-testers? Tastilux, which was cooked up by Cauldron.
Even die-hard carnivores should recognise the opportunity posed by Cauldron. Already one of the world’s premiere agricultural producers, Australia has the potential to pioneer new value-adding technologies, while feeding a global market that is hungry for alternatives to animal products. That potential is recognised by Main Sequence Ventures, which this year invested $10.5 million into Cauldron.
We can’t wait to see what bubbles up next.
5. Silicon Quantum Computing
Few technological advances promise so much as quantum computing, and Australia is fortunate to be at the forefront of those developments through startups like Silicon Quantum Computing.
Led by Michelle Simmons, Scientia Professor at the University of Sydney and 2018 Australian of the Year, Silicon Quantum Computing this year notched $50.4 million in Series A funding.
But more eye-opening than the startup’s new $195.3 million valuation is the potential of quantum computing itself: where a traditional computer bit operates as a one or a zero, the potential for quantum ‘bits’ to display as one and zero simultaneously opens a dizzying new world of computing power.
Expect to hear more about Silicon Quantum Computing, and its ability to construct devices at the atomic scale, in the year ahead.
6. Andisor
Modern e-commerce platforms can tune in to their customers’ shopping habits, offering purchase suggestions that perfectly match their style and budget. Andisor wants to do the same for retailers and wholesalers and is building a digital platform that seamlessly connects the stockroom and the supplier.
Andisor promises buyers ‘on-demand’ access to the wholesale market, minimising the legwork of attending trade shows and the hassle of old-school purchasing commitments. This includes data-driven product recommendations, which the startup claims will meet the needs of the end retail customer. For suppliers, it claims to cut down on administrative burdens – like the ordeal of chasing unpaid invoices.
The platform, founded and led by ex-Deliveroo and Crocs executive Vandana Chaudhry, scored $1 million in pre-seed funding this year. With consumers and retailers both likely to stretch their budgets in 2024, we’ll be keeping an eye on how Andisor is helping businesses buy what they need when their customers need it.
7. Baresop
Health and wellness startup Baresop looks set for more success in 2024 too, thanks to a series of retail partnerships it secured during 2023.
Founded in 2018 by Prisca Ongonga-Daehn, Melbourne-based Baresop produces a range of plant-based hand and body wash powders that users can then mix with water in reusable bottles.
In June this year, the zero waste brand secured a $360,000 investment and strategic partnership with Australian pharmacy distributor Alita Sales, giving it the potential to extend its presence to 58 retail groups and gain access to more than 4,000 pharmacy doors.
Baresop has a $6 million pre-money valuation cap, and the first year of the partnership with Alita Sales is expected to help it grow its annual revenue by $2.1 million.
The deal followed an announcement in April that Baresop products would be available in more than 200 Go Vita health and wellness food stores. In September, the startup added the national community pharmacy network Blooms The Chemist to its rapidly growing list of retail partners.
And there’s interest from further afield too, according to Ongonga-Daehn, who told SmartCompany in September the brand is attracting interest from New Zealand, North America, mainland China, and Singapore markets.
Watch this space.
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