HoneyBook, a San Francisco, California-based financial and business management platform company for freelancers, announced it raised $28 million in Series C funding led by Citi Ventures. Existing investors Norwest Venture Partners and Aleph also participated in this round.
Recently, HoneyBook surpassed $1 billion in books through its platforms — which enables small business owners to streamline all aspects of their business ranging from lead captures, proposal delivery, and invoice and payment processing. There are more than 75,000 creative entrepreneurs who connect through its platform to manage their business.
HoneyBook is committed to offering entrepreneur and freelancers with the tools they need for managing and growing their businesses. This is done by streamlining client bookings, communications, contracts, and payments. Plus Honeybook’s partnerships with financial companies like Citi enables them to offer a broader set of needs for small businesses.
“As the future of work changes and many individuals, especially millennials and Gen Z, are choosing self-employment as their preferred work lifestyle, we must rethink every aspect of the intersection between life and managing a business,” said HoneyBook co-founder and CEO Oz Alon. “We and our members are extremely excited about the potential this investment and partnerships with financial institutions like Citi opens for us to create innovative products and added value.”
Over six years ago, HoneyBook started out as an online wedding albums service that targeted professional photographers with organizational tools that enabled freelancers to share photos, music, videos, and digital media with clients. And viewers could favorite and comment on uploads and share their own content through a guest uploads section. Initially, the goal was to build a crowdsourced database of wedding vendors. But then Alon and his colleagues decided to broaden the platform’s focus several months later.
Founded by Alon along with Dror Shimoni, Naama Alon, and Shadiah Sigala, HoneyBook’s customer base also significantly increased as new members went up by 150% in 2018. Last year, HoneyBook members created over 1 million in business booked on its platform.
The company also enhanced its offering of client management tools and added several new features in 2019. Plus the company is expanding platforms by launching an Android mobile app.
“As the shift toward independent work continues to rise, the needs of this modern workforce segment are evolving,” added Citi Ventures managing director and venture investing lead Luis Valdich. “HoneyBook’s holistic platform is uniquely positioned to serve the growing number of creative freelancers who are operating their own businesses and we are excited to be part of its journey.”
HoneyBook was recently named by FORTUNE and Great Place to Work as one of the top five small and medium Best Workplaces in the Bay Area in 2019. And the company excelled as one of the most competitive employment landscapes by pushing for an inclusive culture, providing generous benefits, and supporting employee work-life balance through programs such as volunteer time off and access to external advisors.
“We are in the midst of a period of extensive changes in societal structures and economic models. The fintech ecosystem is producing more and more breakthrough innovations that serve the needs of modern consumers, and we believe, as a pioneer in its space, HoneyBook can become a market leader in the U.S.,” explained Citi Ventures Israel Director and Venture Investing Lead Ornit Shinar.
HoneyBook’s subscription plans cost $400 per year (discounted for one year plan) or $40 per month. And it includes free account training and fraud protection.
