Giving old wood new life with Ben Christensen from Cambium

Introduction (00:00:00)

• In 2018, landfills in the US received 12.2 million tons of wood, mostly useful material that could be reused.
• The lack of infrastructure means the wasted wood can't always reach developers, woodworkers, and creators who need it.
• Cambium is a company that is reimagining the wood supply chain and reallocating previously wasted wood to be used in new building projects.
• Ben Christensen is the founder of Cambium.
• Only 5 to 10% of wood ends up getting reused.
• Ben's first company was selling firewood to campers for $10 a bundle.

What Cambium is all about (00:01:42)

• Cambium builds regenerative supply chains for wood.
• The wood industry is worth $215 billion and primarily sources wood from virgin timber, leading to deforestation.
• Cambium aims to create a better value chain using local and salvaged materials tracked through their technology.
• Carbon smart wood addresses the issue of wood waste.
• In the US, only 5-10% of wood is reused, while the rest is chipped into mulch, sent to landfills, or burned.
• Carbon smart wood salvages wasted wood from cities, deconstruction, and fuel load reduction efforts.
• It has full chain-of-custody tracking and reinvests in new trees.
• Ben Christensen has always been interested in wood supply chains and trees.
• He believes that his passion for wood and trees has led him to his current work at Cambium.

Climate change and wood recycling (00:05:01)

• Ben Christensen, raised in New Mexico, founded Cambium to address climate change and combine his interests in woodworking and team building.
• Cambium's technology platform connects local wood products businesses with customers, promoting the use of salvaged wood material and supporting local businesses.
• The wood industry has experienced significant changes in recent years, with the emergence of new technologies and a younger generation entering the space, leading to a $25 billion industry in the US.
• Christensen's father, a stay-at-home dad and close friend, shares his passion for the wood industry, making Christensen's experience unique and heartwarming compared to other founders and venture capitalists.

Developing the software (00:11:36)

• Cambium developed software to address the problem of lack of connectivity and consistent demand in the wood supply chain.
• The software includes inventory management, business operations, and point of sale features that connect different businesses involved in the wood supply chain.
• The software facilitates the exchange of information and transactions between businesses, making it easier for them to source and sell wood products.
• The software is well-received by users because it addresses a real need in the wood supply chain.
• The demand for sustainable wood products is growing, which helps drive adoption of the software.
• Cambium's approach of starting with sourcing material and then selling it to large buyers helps drive conversion and adoption of the software.

Sourcing sustainable wood (00:15:54)

• Work with cities, states, and individuals to prevent trees from being wasted.
• Collaborate with developers to reuse trees from construction sites for building materials.
• Utilize all parts of the tree by finding different uses for different grades of wood.

Going from grad school to founder (00:18:41)

• Started the company while working at the World Resource Institute due to difficulty finding a job with relevant experience.
• Saw an opportunity to combine business skills with a passion for sustainability.

Fundraising journey (00:20:01)

• Initially, Cambium did not know much about fundraising in Venture Capital.
• They had to learn about the space and understand how to speak the language of investors.
• Investors became interested once they understood the scale of the problem and the potential climate solution that Cambium offered.
• Cambium ended up with a diverse investor set, including SAS investors, climate investors, and those with expertise in supply chains and technology.
• Cambium was selective about who they brought in, focusing on people who could fill in gaps and help them understand what they didn't know.

AI and supply chains (00:23:59)

• AI has great potential in optimizing supply chains and facilitating transactions.
• AI can be used to track materials from their origin to the end customer, providing real-time updates on location and timing.
• AI can help companies create environmental product declarations and align with their impact and emissions profile.
• In the long term, AI can optimize supply chain data to determine the most efficient way to bring materials to the market.

Building the team (00:25:49)

• Ben Christensen feels fortunate to have a diverse and talented team with shared values.
• Cambium's solution offers climate, software, job creation, and social equity benefits, attracting people with various interests.
• To ensure long-term value creation, Christensen believes in aligning the company's narrative with employees' personal narratives.
• Low turnover is attributed to hiring people who are passionate about the company's mission for personal reasons.
• The first hire, Joe McDonald, initially served as an advisor for a year before joining full-time as the VP of growth.
• Christensen emphasizes the importance of investing in communication and resilience to foster a positive company culture.
• Cambium operates remotely but also has a physical presence in Baltimore for in-person collaboration.
• The company strives to accommodate individual preferences for remote or in-person work.

Learning from logistics mistakes (00:30:15)

• Faced challenges when shipping wood to a customer in Canada due to import-export and agricultural product laws.
• The size of the log exceeded the permissible length, leading to complications at the Canadian border.
• Dealt with questions about the dryness of the material and whether it met Canadian standards.
• Import and export laws, as well as agricultural product regulations, can create unexpected challenges when shipping wood across borders.
• Strict rules exist to prevent the introduction of pests or diseases into different countries.
• Factors such as the dryness of the material and its compliance with specific standards can also affect the shipment process.

Staying grounded while building climate solutions (00:32:30)

• Believes in being honest and direct about the impacts of climate change, especially on vulnerable communities.
• Emphasizes the importance of believing in the possibility of solutions and taking audacious actions to address climate change.
• Compares addressing climate change to running ultramarathons, highlighting the need for resilience and commitment.
• Aspen trees are Ben Christensen's favorite type of tree.
• Aspen trees are the largest living organisms in the world, with a single tree forming a grove of connected trees.

Host conversation (00:36:40)

• Ben Christensen, founder of Cambium, is working on a project to repurpose old wood, addressing the significant problem of wood waste beyond obvious sources like building demolition.
• Despite challenges in fundraising for climate-related solutions, Cambium has raised around $8 million, demonstrating the recognition of the need for such initiatives.
• The company's profitability and lack of immediate capital needs allow it to maintain control over its equity.
• Automation, such as using robots for sourcing and collecting wood, has the potential to streamline the wood recycling process.
• Cambium's platform could serve as a foundation for further growth and collaboration within the supply chain.