Trunk Tools, a construction-focused fintech startup that addresses the skilled labor shortage by helping workers get paid faster, announced its launch out of stealth with $9.9 million in seed funding. The oversubscribed round was led by Innovation Endeavors, with participation from Fifth Wall, Foundation Capital and several others.
Trunk Tools has also been accepted into the latest cohort for Stanford dy/dx, a program supported by Sequoia Capital, Accel, Lightspeed, Index, Innovation Endeavors. The infusion of capital will fuel the company’s growth by expanding its talented team, helping accelerate the development of its unique output-focused incentives solution, and driving market adoption.
“The manufacturing and construction industries have grappled with a labor shortage and productivity crisis that Trunk Tools is solving,” said Trunk Tools Founder and CEO Dr. Sarah Buchner, who has 19 years of experience in construction, with a Ph.D. in civil engineering and an MBA from Stanford. “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 labor is in increasingly short supply. This funding will enable us to deliver software and business solutions to help construction employers make on-site labor work more productive, safer, and rewarding.”
Trunk Tools offers construction companies an all-in-one platform to unlock financial flexibility for employees to access a portion of their wages daily at no extra cost to them. In an industry where workers may need to wait weeks for payroll or paper checks, daily wages are a compelling benefit from competitive employers.
Unlike traditional earned wage access solutions, Trunk Tools also provides an underlying incentive-based tool to foster worker engagement and productivity. The Trunk Tools platform uses AI to help managers set productivity goals and safety rewards, which workers receive directly via SMS, eliminating the need for additional app downloads. Workers can conveniently view current and upcoming tasks, check their balances, review transactions, and perform other essential functions directly from their phones.
Companies pay their employees instantly via dedicated debit cards, and Trunk Tools’ software seamlessly integrates into existing payroll systems, ensuring a smooth and efficient workflow.
“Our people are our business, so utilizing a new way to reward employees for their efficiency is fantastic,” said Ryan Maibach, President and CEO of Barton Malow, a top 25 commercial construction contractor. “Trunk Tools has helped us save time and money on projects and motivate the workforce by removing the guesswork out of setting goals, rewarding employees, and aligning incentives. Integrating with our internal systems, this is the easiest way we have found to implement bonus and incentive programs.”
“With the construction industry currently facing significant labor shortages, Trunk Tools’ platform offers a much-needed solution,” said Scott Brady, Partner at Innovation Endeavors. “Trunk Tools empowers construction professionals to optimize workflows, enhance collaboration, and achieve unprecedented levels of efficiency. As an exceptional, fast-growing business spearheaded by a highly skilled and qualified team, we are thrilled to support Trunk Tools’ growth and success.”