Hourwork is a technology company.
Hourwork has raised $13.0M across 2 funding rounds.
Hourwork has raised $13.0M in total across 2 funding rounds.
Hourwork has raised $13.0M in total across 2 funding rounds.
Hourwork's investors include Positive Sum VC, Rogue Capital Collective, York IE, Kyle York, Active Capital, Backstage Capital, Bedrock Capital, Bessemer Venture Partners, CapitalX, Color Capital, Craft Ventures, Cyphr VC.
HourWork is an AI-powered SaaS platform designed for human resource management in the quick-service restaurant (QSR) industry, focusing on recruiting, retaining, and re-engaging hourly workers through tools like automated check-ins, sentiment analysis, employee engagement, and retention insights.[1][2][4] It serves QSR chains and similar businesses managing frontline hourly staff, solving high turnover rates—often driven by managers—and enabling employers to become "employers of choice" by leveraging data on what matters to employees, re-engaging past applicants, and boosting loyalty to cut attrition by up to 30%.[2][3] Founded in 2017 in Boston (later Cambridge), HourWork raised $17.8M before its acquisition by Sprockets in August 2024, serving over 10,000 QSR locations and 11 million workers to drive productivity and profitability.[1][2][3]
HourWork was founded in 2017 in Boston, Massachusetts, by a team of engineers aiming to unify employers and hourly workers to "restore the ideals of the American Dream" by affording opportunities to earn, find satisfaction, and save.[1][2] The idea emerged from recognizing chronic issues in hourly work, particularly in QSR, where managers determine 70% of engagement and are the top reason workers stay or leave; the platform addressed this with automated check-ins and re-engagement of known talent like past applicants and alumni.[2] Early traction built through client wins, such as Domino's franchisees and McDonald's operators reporting better recruitment/retention and turnover reductions, scaling to over 10,000 QSR locations before the 2024 Sprockets acquisition, which merged complementary hiring and retention tools from companies that launched weeks apart.[2][3]
HourWork rides the wave of AI-driven workforce tech for hourly labor, targeting a massive U.S. segment where turnover plagues QSR and frontline industries amid labor shortages and post-pandemic shifts toward retention over replacement.[1][3] Timing aligns with rising demand for specialized tools in restaurant tech (1,285+ items) and store tech, as businesses face giants in HR while seeking profitability via engagement data—HourWork's model influences the ecosystem by normalizing AI for manager-employee dynamics, paving the way for consolidations like its Sprockets acquisition to reshape hourly work end-to-end.[1][3] This positions it amid competitors like Workstream and Jitjatjo, but its QSR depth and acquisition amplify impact on the $9,623-item AI space for practical, high-volume applications.[1]
Post-acquisition, HourWork's platform integrates into Sprockets as the retention arm of a full-suite AI toolset, signaling more mergers and launches to dominate hourly workforce tech amid tightening labor markets.[3] Trends like AI sentiment tools and manager-focused engagement will propel growth, especially as QSR chains prioritize loyalty to counter economic pressures. Its influence evolves from standalone innovator to ecosystem cornerstone, potentially expanding beyond QSR while sustaining turnover wins—watch for scaled profitability as it "reshapes the entire employment experience for millions."[3] This cements HourWork's role in making hourly work viable and dream-aligned for all.
Hourwork has raised $13.0M across 2 funding rounds. Most recently, it raised $3.0M Series A in June 2022.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Jun 1, 2022 | $3.0M Series A | Positive Sum VC, Rogue Capital Collective, York IE, Kyle York | |
| Mar 1, 2022 | $10.0M Series A | Active Capital, Backstage Capital, Bedrock Capital, Bessemer Venture Partners, CapitalX, Color Capital, Craft Ventures, Cyphr VC, Lightspeed Venture Partners, LOI Venture, Long Journey Ventures, Paradox Capital, Positive Sum VC, Prototype Capital, Rising Tide Partners, Rogue Capital Collective, SaaSholic Fund, Shaan's All Access Fund, The Club, The Hit Forge, Vibe Capital, Weekend Fund, York IE, Alex Lieberman, Anthony Pompliano, Ben Tossell, Chris Herd, Dharmesh Shah, Greg Isenberg, Immad Akhund, Jaime Schmidt, Julian Shapiro, Justin Welsh, Kyle York, Moshe Lifschitz, Musaab Hakami, Paul Yacoubian, Sahil Lavingia, Sam Parr, Zack Kanter |