GigKloud

The Problem

GigKloud targets businesses in the construction, moving, fulfillment, and event industries which depend heavily on an unskilled, supplemental workforce.  The biggest problem these companies face is adjusting their daily labor needs with their current business demand.

As of today, staffing agencies are their best and only solution to access a contingent workforce.  However, staffing agencies create a host of other issues such as:

• The agency dictates the wage an employer must pay for more workers.
• The employer has no choice over which workers are being sent to work for them.
• Onboarding with an agency can take a week or more, and requires contracts.
• Workers receive only 60% of the wage the employer pays to the agency.
  

The Solution

With GigKloud, onboarding takes just minutes, and new workers can arrive in as little as 2-hours!  Employers get to set the wages they are willing to pay, and select the workers they wish to work with.  Most importantly, workers get to take home 88% of the wage paid.  Additionally, both sides have the opportunity to review one another, promoting an open, self regulating worker/employer community.

The Product

We've built an intuitive product that has separate interfaces for workers and employers. Our employers use our web app, while our workers use our Android and iOS apps.

How We Make Money

We make 32% on every gig that is posted on our marketplace!

Traction

Our first version of the app had lackluster success. Client retention was inconsistent and the amount clients were willing to spend was flat.

By paying close attention to our clients' feedback, we were able to identify their true pain points and build new features to address them.  We saw an immediate positive effect on client retention, and the amount they were willing to spend each month skyrocketed.

Metrics

We've Identified the Following Metrics:

• Customer Acquisition Cost (CAC):  $1,975
• Avg. Client Spend in GMV (Monthly):  $2,769
• Avg. Revenue Per Client (Monthly):  $731
• Time to Recoup CAC:  2.7 Months
• Client Growth Rate: 33% MoM
• Average Retention: 5.6 Months and Growing!
  

Projections

The founders were able to accomplish the above results as a two-person operation.  Now, our biggest obstacle is the lack of a professional sales team.  We will deploy 40% of the campaign proceeds towards building a sales team.  Using the above metrics, and assuming a total raise of $500k, we can make the following projections:

We can reach $3MM in GMV, and $1MM in annual revenue just by acquiring 100 new clients. Meanwhile, there are 10's of thousands of companies in the U.S. alone, that fit our target profile. The sky is the limit.

The Market

The global Temporary Labor Market is $492B, expected to grow 6.4% annually, reaching $673B by the year 2025.

Our Customers

Future Vision

During covid-19, our employers have expressed an increased concern for the many workers they unfortunately had to let go due to the pandemic.  Although our model has not been affected by the pandemic, we have recognized a new opportunity in helping employers manage these "alumni" workers, and put them back to work.  We call this service "HiveLabor."

HiveLabor, helps employers leverage their alumni employees in an on-demand capacity, thereby preventing them from having to source, hire, and re-train new individuals.  Research has shown that bringing back an alumni worker can be 90% cheaper than finding someone new.  HiveLabor will launch in Q2 of this year, expanding GigKloud's market opportunity to include enterprise level clientele.

A Closer Look

GigKloud From the Worker's Perspective

Product Demo

A complete look at our onboarding process from signing up, through hiring your first worker.