Series A Round provides Goodwrx with funding to hire new employees, expand its marketing efforts, further develop product features
Advantage Capital, a leading impact investing firm, today announced a $4 million investment in Goodwrx--a Las Vegas-based company providing a tech-enabled platform that pairs hospitality workers with employers looking to supplement their existing workforce.
Goodwrx’ platform offers a solution to a problem rooted in an historically inefficient hospitality labor market. The platform allows employers to staff shifts that might otherwise go unfilled and provides hospitality workers more opportunity to reach full employment.
“We want to offer people greater access to good work, and hospitality provides the ability to have access to good workers,” said Nathan Armogan, CEO, Goodwrx. “Our platform solves a decades long problem by connecting workers and employers in real time, allowing both to benefit. We are fortunate to have found a capital partner, who along with our other valued partners, share our vision to reshape the gig economy and provide quality outcomes for both workers and businesses. With this investment, we will be able to expand our services, reaching a larger labor pool and allow people to find good paying jobs throughout the country.”
Since launching the platform in 2021, Goodwrx has seen a large uptake in usage by many of the major regional and national players across the Leisure, Travel and Hospital industry spectrum. Businesses leveraging the application are finding great success.
“By providing some of the highest fill rates in the industry, we have earned our spot as the properties’ single source of contract labor. Whether they need cooks, servers, dishwashers, bartenders, porters, front desk agent, etc. we have the citywide extra board that connects businesses to the best talent in the industry,” said Teri Chan Palomaki, CFO, Goodwrx.
“Goodwrx’ platform is highly innovative and is a great asset for employers and employees in the hospitality industry,” said Leah Hendricks, Senior Vice President, Advantage Capital. “Additionally, it is the kind of growth-ready business we are looking for when we invest. On top of a great business model, the company is creating a significant impact by connecting people to strong employment opportunities.”
Goodwrx CTO Ivan Ignatyev added, "This infusion of capital will allow us to enhance our platform and accelerate the introduction of new features in our product roadmap, that will benefit our employees and our business clients alike. I could not be more excited about this incredible milestone in our company’s journey."
To facilitate the investment, the Nevada Small Business Development Center (SBDC) at the University of Nevada, Las Vegas (UNLV) helped connect Advantage Capital and Goodwrx. The deal was also made in connection with the Federal New Markets Tax Credit Program—an economic development program that helps drive capital to small businesses in distressed communities.
“One of the ways SBDC helps to incubate and expand our growing technology ecosystem in the State of Nevada is through the development of public/private partnerships,” said Albert Delgado, SBDC Project Manager for the UNLV Office of Economic Development. “We are glad to have introduced Goodwrx to this investment team to help build a stronger workforce here in Las Vegas.”
About Advantage Capital
Advantage Capital provides financing to established and emerging companies located in communities underserved by conventional sources of capital. Since 1992, the firm has invested more than $4.1 billion in companies from a diverse array of industry sectors and has helped support more than 67,000 jobs. Learn more at advantagecap.com, or via Twitter or LinkedIn.
About Goodwrx
Rapidly proliferating gig economy technology has created immense economic benefits, but the distribution of these benefits hasn’t always been equitable. Goodwrx believes that the gig economy has to evolve and embrace the values of labor empowerment and equity. The company offers a viable alternative through a labor-centric shift-based model. As W-2 employees, individuals can increase their income and enjoy better working conditions, while businesses meet critical staffing needs dynamically. Goodwrx: “Let Good Work Find U.” More about Goodwrx can be found at goodwrx.com.
Advantage Capital is an Investment Adviser registered with the U.S. Securities & Exchange Commission. Such registration, however, does not imply a certain level of skill or training. This release has been prepared for informational purposes and to announce a prior event, and nothing herein should be construed as an offer of investment advisory services or as an offer to sell or a solicitation of an offer to purchase any securities or investment product. All offers of investment interests in any fund or investment vehicle managed directly or indirectly by Advantage Capital are and will be made only to qualified prospective investors pursuant to separate and definitive offering and subscription documents in accordance with applicable federal and state securities laws. Advantage Capital is an equal opportunity provider.
Any third-party statements herein are by persons other than current clients or investors in any private fund directly or indirectly managed by Advantage Capital, and although Advantage Capital did invest cash funds in Goodwrx through the federal New Markets Tax Credit program and the Nevada New Markets Jobs Act, Nathan Armogan (Goodwrx’ CEO) has not received any direct compensation, whether in cash or non-cash form, for the statements or opinions expressed herein. There are no known material conflicts of interest on the part of any third party making or expressing such statements or opinions resulting from such party's relationship with Advantage Capital or from Advantage Capital’s cash investment in Goodwrx or participation in any federal or state tax credit program.
View source version on businesswire.com: https://www.businesswire.com/news/home/20231010951797/en/
Contacts
Advantage Capital
Joe Stosberg, Communications Manager
jstosberg@advantagecap.com
