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Traxlo secures 1.1 million euros in pre-seed funding for gig worker-based retail services expansion
Traxlo has secured funding from existing and new investors for its gig worker-based expansion;
Company provides services to grocery retail chains and FMCG brands through a network of local gig workers who perform daily tasks in stores next to their homes.
With the funding, the company plans to expand its services in existing markets, particularly in Poland and double the number of locations and cities where is available by the end of the year
Vilnius, 2023. Sweden-born, Lithuania-based start-up Traxlo has announced the successful closure of its pre-seed stage funding at 1.1 million euros, raising 600,000 EUR in fresh capital. Existing investors Iron Wolf Capital, Antler, and Red Pill VC participated in the round and were joined by Poland-based Black Pearls VC and a US-based business angel.
Traxlo plans to use the new funding to continue growing in existing markets, with a particular focus on Poland. The company provides services to grocery retail chains and FMCG brands through a network of local gig workers, who perform daily tasks in stores next to their homes. Tasks include product expiration date checking, product stocking, merchandising, planogram compliance, and inventory control. The gig economy is poised for rapid growth thanks to new digital platforms like Traxlo that allow short-term service workers to connect with customers. It is estimated that thanks to favourable regulations, there will be 43 million gig workers in the EU by 2025.
Last year, Traxlo successfully completed the Zabka Group acceleration program in Poland, and this year the company received the Poland Prize to further expand its presence in the country. Additionally, the startup deepened its collaboration with Sweden-based Whywaste, AB and now provides combined services of gig-work-powered food waste management in Lithuania and Poland.
"We're excited to have secured funding to accelerate Traxlo's mission to enable every individual to earn important extra income around their home while creating value for businesses and increasing social good in their local community. We are happy to see more and more retail executives supporting our mission while at the same time, their companies are getting better and much more efficient in-store execution" says Paul Vezelis, CEO and Co-founder of Traxlo.
With Traxlo's “tasku” mobile application, gig workers can already find opportunities to complete tasks to earn extra income in 300 locations across more than 10 cities. Traxlo plans to more than double the number of locations and cities by the end of the year.
The “tasku” app is currently available in English, Lithuanian and Polish languages, with plans to soon add Ukrainian due to high market demand. The company currently has a team of 10 people spread between its Vilnius and Warsaw offices and is actively seeking new talent for both locations.
"Tasku has been a lifesaver for me as a mother with free time from taking care of my kids. With the “tasku” app, I can find flexible and easy-to-do tasks that fit perfectly into my schedule. Not only do I get to make extra income, but I also have the freedom to work whenever and wherever I want. Thanks to “tasku”, I can balance my family life and financial goals with ease.” - Jolanta, a happy gig worker from Lithuania.
Black Pearls VC partner Aleksander Dobrzyniecki sees great potential for the “tasku” app to benefit both locals and the retail industry in the Polish market and beyond:
"We are pleased to announce our recent investment in Traxlo which is revolutionizing the way local communities can earn extra income while providing value to businesses. With a talented team, a proven track record, and a commitment to innovation, we believe Traxlo has the potential to make a significant impact in the gig economy market. We look forward to working closely with founders to drive growth in Poland and support the company in further expansion in other markets."
Traxlo, a retail execution tasks marketplace, connects local gig workers with grocery stores and FMCG brands to optimize retail operations and drive sales growth. Operating in select cities across Sweden, Lithuania, and Poland, Traxlo offers flexible work opportunities for locals while enhancing in-store performance. To date, the company received more than 1.1M EUR pre-seed investments from Swedish Antler, Lithuanian Iron Wolf Capital, Polish Black Pearls VC and numerous business angels.
About Iron Wold Capital
Iron Wolf Capital is a seed-stage VC fund from the Baltics investing in teams with a global mindset creating disruptive technologies. Based in Vilnius and London fund invest in smart people with innovative ideas and global aspirations. Member of the Lithuania Private Equity and Venture Capital Association and Estonia Private Equity and Venture Capital Association.
About Black Pearls VC
Black Pearls VC is an early-stage venture capital firm focused on supporting the leading tech companies from the Baltic Sea Region. It invests in early-stage with a typical ticket of anywhere between €100k - €1m. Black Pearls VC is a part of the Kauffman Fellows, a global network of +500 leading VCs.