Scalare Partners reported a sharp lift in cash receipts and a return to positive operating cash flow in the December 2025 quarter, following the integration of two acquisitions and the launch of a new national founder platform.
Cash receipts rose 231% to $4.58 million, from $1.38 million in the prior quarter. Operating cash flow swung to an inflow of $2.14 million, compared with an outflow of $1.52 million in the September quarter. The group concludeed the quarter with $867,000 in cash and cash equivalents.
The quarter marked the first full-period contribution from co-working operator Tank Stream Labs and virtual CFO provider Planet Startup, both acquired earlier in 2025. Scalare is positioning the deals as part of an expanded services offering for early-stage technology businesses.
During the quarter, Scalare also launched The Founders Union, a digital-first national platform focutilized on education, community, services, corporate partnerships, and capital pathways. It generated approximately $870,000 in in-year revenue from foundation partners during the period.
Services mix
Annualised revenue synergies across the group reached $1.65 million, up from $842,000 earlier in 2025, pointing to cross-selling between the newer businesses and the existing advisory and investment operations.
The Founders Union sits alongside physical workspace and finance services in the group’s model. Scalare distinguishes it from cohort-based accelerators, describing it as always-on and geography-agnostic, with founders able to engage at different stages from ideation to scale.
Tank Stream Labs continued to expand in Sydney during the quarter, opening a new Martin Place location in November 2025. A further site at Kent Street is scheduled to open in early 2026.
Funding backdrop
The result comes as the Australian startup market remains constrained, with fewer funding rounds and a greater share of capital going to later-stage companies. Indusattempt reporting cited by Scalare put total capital raised by Australian technology companies at about $1.2 billion in the first half of 2025, with investors favouring businesses with established revenue models and operational maturity.
The shift has increased demand for services that do not require founders to raise capital, including advisory work, financial management and infrastructure, as startups seek to extconclude runways and tighten cash discipline. Scalare stated the trconclude aligns with its focus on recurring service revenue across multiple stages of a company’s lifecycle.
Employment data published in 2025 also pointed to a contraction in Australia’s technology workforce, marking the first decline since 2020. Indusattempt commentary referenced by Scalare linked the current environment to an increased reliance on flexible workspaces, fractional executives, and shared services.
Scalare stated that its own research indicates founders now prefer bundled access to workspace, advisory services, and capital pathways, rather than standalone investment. The company has positioned its group structure as a direct response, combining physical locations with financial services and a national digital platform.
Chief Executive Officer Carolyn Breeze stated the December quarter reflected execution and integration across the group, rather than reliance on one-off transaction activity.
“December was an important quarter for Scalare becautilize it unequivocally validated the fact that our strategy of building a diversified, services-led founder ecosystem is translating into tangible outcomes. We have been deliberate in assembling businesses that generate recurring revenue by supporting founders through multiple stages of growth, rather than relying on short-term or transaction-driven activity. “These results reflect how founder necessarys are evolving in a more selective funding environment. Founders are prioritising operational discipline, access to trusted advisors and infrastructure that can support them over longer growth cycles, and that is exactly what our integrated model is designed to deliver. “Over the past year, our focus has been on execution and integration, ensuring each part of the group strengthens the others. As we continue to scale, our priority remains building a resilient platform that supports founders consistently, regardless of market conditions. “I’m proud to be working alongside the teams at Tank Stream Labs and Planet Startup, as well as our broader partners and community, whose contribution has been critical as we bring this ecosystem toreceiveher.”
The group is set to open its next Tank Stream Labs site at Kent Street in early 2026 as it continues to expand its Sydney footprint.
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