Trunk Tools, a financial technology (FinTech) start-up specialising in the construction industry, has launched its operations with a bang. The New York-based firm aims to address the persistent skilled labour shortage in the sector by enabling faster payment processing for construction workers.
In a recent announcement, the company unveiled a successful seed funding round, garnering $9.9m. The round, characterised by oversubscription, was led by Innovation Endeavors, with contributions from Fifth Wall, Foundation Capital, and others. Furthermore, Trunk Tools has clinched a spot in the latest Stanford dy/dx programme, which enjoys support from distinguished venture capital firms like Sequoia Capital, Accel, Lightspeed, and Index.
Trunk Tools focuses on improving financial flexibility in the construction industry. It provides an all-in-one platform that allows employees to access a fraction of their wages on a daily basis, without incurring any additional costs. This ground-breaking solution serves as a significant boon for an industry plagued with wage payment delays and offers a competitive edge to employers seeking to attract and retain skilled labour.
The newly raised capital is earmarked for fostering the company’s growth. The funds will be directed towards expanding the firm’s proficient team, expediting the development of its unique output-focused incentives solution, and driving market adoption.
Among its unique features, Trunk Tools employs artificial intelligence (AI) to assist managers in setting productivity goals and safety rewards, directly communicated to workers via SMS. This circumvents the need for downloading additional apps. It enables workers to conveniently access and manage their tasks, balances, and other critical functions directly from their phones. Additionally, Trunk Tools has integrated a system that allows companies to pay their workers instantly via dedicated debit cards. The software also integrates seamlessly into existing payroll systems, guaranteeing smooth and efficient workflows.
Expressing her views on the issue, Trunk Tools founder and CEO, Dr Sarah Buchner, said, “The manufacturing and construction industries have grappled with a labour shortage and productivity crisis that Trunk Tools is solving. Research from Engineering News-Record shows an all-time high in construction job openings and projects nearly 40% of existing craft workers retiring within 5 years. The construction and manufacturing industries must become more competitive employers in an environment where skilled labour is in increasingly short supply. This funding will enable us to deliver software and business solutions to help construction employers make on-site labour work more productive, safer, and rewarding.”
Lastly, it’s worth noting that the company has received prior investments from Innovation Endeavors, playing a crucial role in Trunk Tools’ establishment and initial success.
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