Collateral Good invests in Synflux to reduce material waste and optimise production costs for brands
Zurich, January 19th, 2026 – The fashion industry continues to face deep-rooted inefficiencies, particularly at the earliest stages of product creation. Traditional pattern-making processes routinely generate significant material waste before a garment is even produced at scale. Addressing this challenge requires innovation not only in materials and recycling, but also in how products are designed in the first place.
We are pleased to announce our investment in Synflux, a Tokyo-based fashion technology company developing algorithmic design software that dramatically reduces fabric waste and production costs during garment design. This investment marks Collateral Good’s first investment in Japan and brings us alongside a strong group of strategic and institutional investors, including Goldwin.
Rethinking pattern-making through algorithmic design
Synflux has developed Algorithmic Couture, a proprietary software platform that uses advanced computational geometry and optimisation algorithms to generate garment patterns with minimal fabric waste. Unlike traditional or generative AI-based design tools, Synflux’s technology produces deterministic, production-ready outputs that integrate seamlessly into existing CAD/CAM workflows used by apparel brands and manufacturers.
By optimising patterns at the design stage, Synflux can reduce fabric waste from an industry norm of 15–30% to single-digit levels, delivering immediate cost savings while also lowering the environmental footprint of apparel production. This design-led approach tackles waste at its source, rather than attempting to manage it downstream.
Proven traction with leading brands
Synflux’s technology has already been validated through collaborations with established global brands, demonstrating both technical robustness and real-world applicability. These early deployments show how algorithmic optimisation can be embedded into existing design and production processes without disrupting creative intent or operational workflows.
The company’s growing list of industry partners, together with the participation of strategic investors such as Goldwin, underscores the commercial relevance of Synflux’s solution and its potential to scale across global fashion supply chains.
Why we invested
Our investment in Synflux reflects several core elements of Collateral Good’s investment thesis:
• Measurable impact: Synflux delivers quantifiable reductions in fabric waste and material costs, creating clear environmental and economic value.
• Scalable technology: As a software-based solution, the platform has the potential to scale across brands, categories and geographies once embedded into design workflows.
• Systemic change: By addressing inefficiencies at the design stage, Synflux targets a structural problem in fashion manufacturing rather than a marginal improvement.
• Strong strategic alignment: Increasing regulatory pressure around waste reduction, extended producer responsibility and Scope 3 emissions is accelerating demand for solutions that deliver verifiable efficiency gains.
Beyond apparel, Synflux’s underlying optimisation technology also has potential applications in adjacent industries where material efficiency is critical, including furniture, automotive interiors and technical textiles.
Expanding our footprint in Asia
This investment represents Collateral Good’s first step into the Japanese market, a region with deep expertise in manufacturing, materials innovation and fashion technology. We see Japan as an important geography for sourcing high-quality, impact-driven innovation and look forward to building long-term partnerships in the region.
Looking ahead
Synflux plans to use this funding round to convert successful pilot projects into full-scale commercial deployments, expand its enterprise sales capabilities, and further strengthen its technology platform to support global adoption.
Innovations like Synflux’s are essential for driving meaningful, system-level change in the fashion industry. By combining advanced technology with measurable impact and commercial viability, Synflux exemplifies the type of solution we seek to support as we work towards a more efficient, circular and sustainable fashion ecosystem.
