Tough Leaf

What Tough Leaf does

Tough Leaf is a New York-based construction-technology company that operates an AI-powered two-sided platform connecting general contractors and government agencies with small and certified subcontractors (MBE, WBE, DBE, SBE, SDVOB, VOB, LBE, and related classifications). The company addresses three structural pain points in construction project execution: identifying qualified certified subcontractors, executing compliant outreach that withstands agency audit, and tracking participation and spend for closeout reporting. Headquartered at 205 E 42nd Street with 11–50 employees, the company has contracted over $250 million to diverse businesses and analyzes more than $1 billion in certified spend annually through its platform.

The product ecosystem comprises four integrated modules. ClearSource is AI-powered sourcing and outreach software that searches a database of 400,000+ verified subcontractors, validates certifications in real time across 100+ federal, state, and local programs, manages outreach workflows, and generates solicitation documentation. ManagedOutreach is a done-for-you service in which Tough Leaf experts handle identification, verification, and engagement on behalf of clients. ClearComply manages operational compliance from award through construction, including contractor onboarding, documentation workflows, and reporting cadence. ClearSpend provides real-time certified spend tracking and participation monitoring at the project and organization level. Underlying AI capabilities include a recommendation engine for trade/location/certification matching, process automation for certification validation, and knowledge retrieval across structured subcontractor records. The technology stack processes structured data (subcontractor profiles, certification databases) and generates text-based outputs (solicitation documentation, compliance reports).

Tough Leaf generates revenue through three mechanisms: software platform subscriptions for self-serve ClearSource customers on annual billing, managed services engagements for outsourced sourcing, compliance, and spend tracking on multi-year contracts, and hybrid software-plus-services packages. Pricing is quote-based and not publicly disclosed. Distribution combines direct enterprise field sales targeting general contractors and government agencies with a product-led growth motion for the subcontractor side, where certified firms can create and verify profiles for free. The customer base spans enterprise GCs (Holt Construction, JRM Construction, Kiewit, The Related Companies, L.S. Brinker, Restani, Structural Technologies, Sukut, Pullman), government agencies (City of New Rochelle, City of Miramar), and a long tail of certified subcontractors. The company has raised approximately $7.8 million in venture funding and is led by founder and CEO Wissam Akra.

Name

Tough Leaf

Legal name

Tough Leaf Inc

Website

https://toughleaf.com

Company type

Private

Founded year

2021

Operating status

Operating

Headcount range

11–50 employees

Short description

Tough Leaf is a New York-based construction-technology company operating an AI-powered platform that connects general contractors and government agencies with 400,000+ verified small and certified subcontractors, supporting sourcing, outreach, compliance, and spend tracking across federal, state, and local programs.

Ownership category

akta.pro rank

Headquarters

HQ city

New York

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Software

Cost components

Technology or R&D, Personnel, Marketing or Sales, Operations, Infrastructure

Revenue model

1. Software Platform Subscription: Self-serve software platform (ClearSource) for general contractors to search, match, and manage certified subcontractor outreach. Customers can self-manage sourcing workflows without managed support.
2. Managed Services: Done-for-you managed services including ManagedOutreach (expert-led sourcing and outreach), ClearComply (operational compliance), and ClearSpend (spend tracking). Provided as ongoing service engagements.
3. Hybrid Software + Services: Combination of software platform access with managed service overlays. Clients can self-serve using the platform and add managed support (ManagedOutreach, ClearComply, ClearSpend) when internal capacity is limited.

Pricing tiers

Go-to-market motion2 records

Distribution channels2 records

Marketing channels8 records

Core offering

Tough Leaf provides an AI-powered software platform and managed services that help general contractors and government agencies find qualified small and certified subcontractors, manage outreach, and track compliance and certified spending across the full construction project lifecycle. Its products — ClearSource (sourcing), ManagedOutreach (done-for-you outreach), ClearComply (construction-phase compliance), and ClearSpend (spend tracking) — operate on a proprietary database of 400,000+ verified certified subcontractors covering 100+ certification types.

Product overview

Tough Leaf is a construction-tech platform offering a unified ecosystem of software products and managed services for certified subcontractor sourcing, outreach, compliance, and spend tracking. The core platform consists of four integrated modules: ClearSource (AI-powered sourcing and outreach software for pre-construction teams), ManagedOutreach (done-for-you outreach service), ClearComply (construction-phase compliance management), and ClearSpend (organization-wide certified spend tracking and reporting). Together, these products support the full project lifecycle from bid through construction closeout.

Differentiator

Problem solved

Functional benefit

Brands

• ClearSource: AI-powered certified subcontractor sourcing software for pre-construction teams, featuring matching, outreach tracking, and verification capabilities.
• ManagedOutreach
• ClearComply
• ClearSpend

Products and services

• ClearSource AI-powered certified subcontractor sourcing and outreach platform that enables pre-construction teams to search 400,000+ verified subcontractors, confirm certifications, manage outreach, and generate solicitation documentation. Built for general contractors and government agencies.
• ManagedOutreach Done-for-you sourcing and outreach service in which Tough Leaf specialists identify, verify, and engage qualified small and certified subcontractors on behalf of pre-construction teams. Targeted at GCs and government agencies needing expert support.
• ClearComply Operational compliance management platform that structures contractor onboarding, manages documentation workflows, and maintains participation and reporting cadence from award through construction closeout. Built for construction teams that need audit-ready compliance documentation.
• ClearSpend Certified spend tracking and reporting platform providing real-time visibility into spending with small and certified subcontractors at project and organization levels. Enables monitoring of payment progress against compliance goals and generates accurate spend reports.

Quantifiable outcome

• 3.5x more competitive bids received on average
• +5 more outcomes

Named customers17 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability5 records

Feature5 records

Partnerships

Ten partnerships are on record, tiered minor and core.

• Auris (formerly Heartland Payroll)minorOthersHR and payroll partner offering services to certified subcontractors in the Tough Leaf community. Auris provides payroll and HR technology trusted by over 50,000 businesses nationwide, with exclusive rates for Tough Leaf community members.
• ConstraforminorOthersAccelerated payments partner helping trade contractors get paid within 48 hours of submitting GC-approved invoices. Offers early pay program with no hidden fees or long-term interest, available to Tough Leaf certified subcontractors.
• TraydcoreStrategic or Co-development PartnerBack-office operating system for specialty contractors, bringing construction payroll, compliance, workforce management, and job costing into one unified platform. Joint content marketing and referral partnership addressing certified payroll and prevailing wage requirements.
• Constant ContactminorOthersDigital marketing partner offering 30% discount for 3 months to Tough Leaf community members for email marketing services.
• Heron WolfminorOthersStaffing partner supporting construction firms with recruitment and talent retention in a tight labor market with unemployment below 4%.
• WithCoveragecoreOthersInsurance partner offering savings for Design & Construction firms, managing every aspect of insurance with tailored programs. Featured in podcast episodes discussing insurance requirements for certified subcontractors.
• MemberlyminorOthersHealth benefits partner helping business owners evaluate whether they're overpaying for health insurance, with special rates for Tough Leaf community.
• PlyminorOthersMaterials management partner helping contractors save 15 hours per week on inventory management, reduce human error, improve cash flow, and centralize activities.
• TaxTakerminorOthersTax credit partner offering $1500 referral bonus for every successful referral for 179D and 45L energy efficiency tax incentive programs.
• GordianminorOthersProcurement partner and creator of Job Order Contracting (JOC), an IDIQ construction delivery method enabling faster project starts and easier compliance requirements management.

Scale indicators7 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Procore Technologies: Leading construction management platform for GCs with project management, bidding, and compliance tooling. Broader portfolio but overlapping subcontractor management and certified spend tracking capabilities make it Tough Leaf's largest competitive threat.
• Dodge Construction Network: Long-established construction project leads, market data, and bid management provider. Adjacent incumbent offering broader project intelligence alongside subcontractor sourcing capabilities that overlap with ClearSource.

Direct peers

• BuildingConnected (Autodesk): Bid management and subcontractor sourcing platform owned by Autodesk. Directly competes with ClearSource for GC bid management workflows and is bundled within Autodesk Construction Cloud's enterprise offering.
• B2Gnow: Diversity and compliance management platform for government agencies and contractors, tracking DBE/MBE/WBE participation and payments. The closest direct competitor to ClearComply and ClearSpend on certified spend reporting.
• PlanHub: Construction bid management and subcontractor sourcing platform connecting GCs with trade contractors. Overlaps directly with ClearSource on pre-construction bid coverage and subcontractor discovery.
• ConstructConnect: Construction bid management and project lead platform (parent of iSqFt). Competes with ClearSource on bid distribution and subcontractor sourcing for commercial GCs.
• SmartBid (Jonas Construction Software): Construction bid invitation and management platform focused on subcontractor prequalification and ITB distribution. Directly comparable to ClearSource's pre-construction sourcing and outreach functionality.
• TradeTapp (Autodesk): Subcontractor risk assessment and prequalification tool inside Autodesk Construction Cloud. Competes with the verification and compliance dimensions of ClearSource and ClearComply.
• Levelset (Procore): Lien rights and payment compliance platform acquired by Procore. Overlaps with Tough Leaf's compliance management focus on payment documentation and contractor onboarding workflows.

Others

• Gordian: Provider of Job Order Contracting (JOC) and procurement software for public agencies and a named Tough Leaf partner. Overlaps on public-sector procurement use cases that could expand into or compete with Tough Leaf's government offerings.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/tough_leaf
• YouTubeyoutube.com/@Tough_Leaf
• Facebookfacebook.com/ToughleafDEI
• LinkedInlinkedin.com/company/toughleaf
• Instagraminstagram.com/tough_leaf

Revenue estimate

Valuation estimate

Number of profiles

Profiles12 records

Funding overview

Funding rounds3 records

Investors3 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Tough Leaf