Heru, a new startup that provides the first comprehensive digital worker service platform in Mexico, today announced that it has raised a $1.7 million USD pre-seed venture financing. The round was led by Mountain Nazca with participation from Flourish Ventures, YCombinator, Magma Partners, Xtraordinary Venture Partners and angel investors Jason Evans, Nicolas Girard and Alejandro Galvez.
HR Technology News: ERP: Why the Time Is Right to Redefine the Acronym
Heru was founded last May by Mateo Jaramillo and Stiven Rodriguez. They worked together at Uber in Colombia and Mexico for five years, helping build and grow Uber’s operation in Latin America. “While we witnessed the transformation of the gig economy through digital services like ride-sharing apps, we realized that this population of workers needed a full suite of services and benefits in addition to the mobile apps that connected them with work opportunities.”
In Latin America, there are 145 million independent workers that make up approximately 40 percent of the total workforce population. These people do not have access to services or products made to fit their needs or working conditions, or if they do, they are too expensive. Most of the gig workers in Latin America live in the outskirts of major cities and commute every day for work. They spend most of their time on the street without access to a place where they can feel safe and are often rejected by the general public. They are often not allowed to gather on sidewalks or in parks, are denied access to restrooms, and are treated poorly by police and local businesses. This is why Heru’s physical locations (Heru Casas) have become crucial to their wellbeing.
HR Technology News: TecHRseries Interview with Cherie Curtis, CEO & Executive Director at Revelian
Within the Heru app, independent contractors can find access to tailored insurance policies, working capital and credit, tax-declaration products, financial guidance, cell phone data plans and much more. Heru is also forging new partnerships including one with UberEats to sign up its Loyalty Program partners in the app so they can have discounted access to the Heru Casas and the rest of the services.
In just six months, Heru has attracted more than 19,000 registered users to its service platform. However, the market opportunity and the social need is vast. “The COVID-19 pandemic caused an economic recession, and therefore accelerated the growth of independent gig workers to more than 12 million in the Latin American region,” said Jenny Johnston, investor at Flourish Ventures. “We invested in Heru not only because the founding team has created a very timely business model, but also because the company will have a lasting benefit on the economy, enabling greater financial health for millions of independent workers.”
HR Technology News: Tenable Assure Partner Program Expands With Transformed Tools, Training And Certifications