SUMMARY
The seed funding round led by Ankur Capital and Omidyar Network India, with participation from Titan Capital and others
Project Hero will use the funding to scale up technology infrastructure, ramp up hiring and expand footprint
The platform claims to have more than 4 Lakh construction workers on its platform and has so far ‘placed’ over 3000 workers in various ongoing projects
Construction-focused labour hiring platform Project Hero has raised $3.2 Mn (INR 25.5 Cr) in a seed funding round led by Ankur Capital and Omidyar Network India.
The round also saw participation from Titan Capital, among other angel investors.
Project Hero will use the funding to scale up its technology infrastructure and ramp up hiring across key verticals. The investment will also be used to expand its market presence to more geographies within the country.
“The Indian construction labour market is highly fragmented and fraught with multiple middlemen in between. They deliver a very bad experience to the contractor & to the labour both…But with the advent of mobile phone penetration, we feel this can be changed. We also feel a product first approach is the right way to solve these problems,” said Project Hero CEO and cofounder Satya Vyas.
Echoing the sentiment, partner at Ankur Capital Krishnan Neelakantan said, “The trust deficit among key stakeholders in the industry leads to suboptimal outcomes for all, with workers being excluded from a professional experience around their work and career. By leveraging technology to bring transparency into working hiring and engagement, Project Hero is building a trusted platform that can tap into a large market opportunity.”
Founded by IIT-Roorkee alumni Vyas, Pukhraj Grewal and Raghu Chopra, Project Hero enables contractors to hire and manage construction workers across multiple categories including carpentry, shuttering, masons, among others.
Prior to founding Project Hero, the trio ran a general contracting company for five years and now aims to deploy the experience in the new venture.
The startup also offers a management software which allows contractors to track workers’ attendance, generate daily wage reports and pay salaries online. At the same time, the platform also allows construction workers track their salaries and avail fintech services such as insurance on a mobile app.
Project Hero had last raised $450K from Titan Capital, Anupam Mittal and Varun Alagh in July last year. The platform claims to have more than 4 Lakh construction workers on its platform and has ‘placed’ over 3,000 workers in various ongoing projects.
The startup competes with platforms such as Bandhoo, Vahan and Goodworker in the larger gig worker and blue collar hiring market.
The Indian blue-collar job market is largely fragmented and unorganised, accounting for livelihoods of more than 50 Mn construction workers operating through informal channels.
According to a report, India is home to an estimated 500 Mn blue-collar workers who are regularly at peril due to uncertain job scenario in the country and an absence of social and financial net to protect them during rainy days.
While this story pans out, India’s gig sector is also likely to grow to $455 Bn by 2024, according to a report by ASSOCHAM.
