HPA Invests in Digit’s AI Operating System for Manufacturers and Distributors
HPA is excited to announce its follow-on investment in Digit’s $3M Seed Round, bringing total funding to $6.3M. This round was led by Tech Square Ventures, with participation from Barrel Ventures and Service Provider Capital, and continued support from Assembly Ventures and Grand Ventures. HPA previously co-led the company’s pre-seed round that was announced in 2025.
Digit is the AI-native operating system for manufacturers and distributors. The platform integrates essential operational tools, including inventory management, manufacturing execution systems (MES), material requirements planning (MRP), and warehouse management systems (WMS), into a cohesive operating system. By prioritizing user experience and rapid time-to-value, Digit directly challenges the complexity and rigidity of legacy ERP solutions.
“We’re at the start of a new era that demands an entirely different technology infrastructure. Most companies know their legacy systems weren’t built for this moment, but rebuilding feels out of reach,” said Dan Koukol, Digit CEO. “Digit changes that, redefining passive systems of record to an active system of progress”
This funding comes at a pivotal moment for the manufacturing operations market. The market is shifting, manufacturers no longer accept brittle legacy systems that weren’t built for operators, and are actively seeking modern alternatives purpose-built for their workflows. For the first time in decades, the AI era has created a new market opportunity. Digit entered 2026 with its strongest quarter in company history, a shift playing out in real time, from growing manufacturers leaving spreadsheets behind to mid-market companies actively migrating from legacy solutions. Manufacturing teams can no longer rely on systems that only store data, they need systems that guide action.
“With this Seed Round, Digit is now positioned to shift into full growth mode”, said Michael Werner, HPA Deal Lead and Digit Board Observer. “The company has done a tremendous job building a product that delivers real customer value.”
HPA congratulates the Digit team on this milestone and looks forward to supporting the company’s continued growth through its People First model, leveraging experienced operators alongside financial capital to help great founders build enduring businesses.
Michael Werner, HPA Deal Lead, will continue contributing his expertise as a Board Observer, leveraging his extensive manufacturing and home services background to guide Digit’s continued growth.
Werner is the Founder & CEO of HomeX. In August 2022, HomeX sold its Schedule Engine division to ServiceTitan. Before establishing HomeX, Michael was President and CEO of Globe Union Group, an international manufacturer of kitchen and bath products, and is the former President of Werner Ladder Co., which his family operated for 75 years.
Read more about the round here.