Hourly.io Raises $27M in Series A Funding Round
Schedule.ioa worker compensation and payroll startup, raised $27M in Series A funding led by Glilot Capital Partners via its Glilot+ seed fund. Additional backers include previous investors Uppercase letters, MS&AD companies, J Ventures and new to this round, Vintage Investment Partners and Result companies.
The Series A funding will help Hourly expand beyond the state of California, where it was founded. The company aims to expand its insurance platform nationwide.
Hourly’s user-friendly platform merges three complex products: time and attendance, payand work accident insurance— in one.
Traditionally, companies use annual payroll estimates to calculate workers’ compensation premiums. But changes in personnel, workload, hours or compensation often cause these estimates to vary considerably from reality. As a result, companies overpay or underpay their workers’ compensation premiums, often by tens of thousands of dollars.
Co-founder and CEO Tom Sagi experienced these issues firsthand while running a small business himself. He teamed up with Shay Litvak, a technologist with over 20 years of experience, to solve these problems and revolutionize the $50 billion worker compensation industry.
Lior Litwak, Managing Partner of Glilot+, Glilot Capital’s early growth fund, said, “Hourly.io is a game-changer for small businesses with a mobile workforce. The platform frees up thousands of hours spent on administrative work, eliminates surprise bills, and ultimately improves accountability. We are thrilled to join Hourly in its journey to completely revamp the workers’ compensation insurance industry.
Haim Sadger, a founding partner at S Capital who led Hourly’s seed round in 2019 and is the second-largest Series A investor, said: “Hourly is a shining example of what can be done when people talents come together with a clear vision. This vision is to create a platform that allows any business owner to manage all aspects of their hourly workforce in minutes using just a smartphone. They’ve built something really special, and the growth and positive feedback they’re seeing in the market is proof of that.”
“Schedule completely eliminates uncertainty because payroll and worker compensation are linked. Now companies know exactly how much their coverage costs,” Sagi said. “We’re excited to expand Hourly outside of California and give business owners across America a better way to pay their team, get a handle on their true labor costs, and better manage the insurance of their employees.”