Kuhustle, a company that connects freelancers to jobs online, has received an acquisition offer of $11.2M by Odesk/Upwork as per an article on @Techcrunch.
We last wrote about kuhustle.com when they hired the internet sensation Seve Gats as a Project Manager a week ago and that story was covered by various media outlets including Mashable, Huffington post, BBC India and Telegraph.
According to one of the co-founders, Sam Gichuru, “Kuhustle’s target was to create 10,000 jobs by 2020 but with this new offer, we will be able to scale across the continent from Capetown to Cairo much faster. We have seen an increase in job posting from 8 jobs a month in 2015 to 40 jobs being posted a month in the 1st quarter of 2016. We are looking to double this number before mid-year. We have also had a 300% growth on users, our numbers having moved from 4000 users in December of 2015 to 14000+ users as of March 2016”
Once a person posts a job on kuhustle.com a project manager calls the client and helps them select the best freelancer from among the bidders to deliver the work. The project manager ensures high quality of work is delivered to the client, while the freelancer gets paid on time. This has seen over 60% return customers to the platform for service.
The financial details of the acquisition offer were not disclosed and all that Kuhustle management were willing to share was that it involved a mix of cash and equity. Kuhustle will continue to function as an independent organization and product, while also looking for potential integration. The entire team will be joining, at least for the transition process, with CEO himself staying on “for the foreseeable future.”
Upwork CEO, Stephane Kasiri said “We are interested in Kuhustle, so that Upwork can become a truly global company, with the fastest growth in internet and mobile penetration in the continent, a growing middle class and a well-educated youth. We are seeing a higher demand for digital jobs and distributed workforce”
According to Rockerfeller foundation and a world bank report “Studies show that incomes for young people in Africa hired through impact sourcing can increase by 40 to 200 percent. At the same time, companies that utilize impact sourcing can spend 40 percent less than others, because of lower training costs and lower attrition.
Kenya has the 10th largest population on Upwork at over 40,000 digital workers and kuhustle could be on its way to becoming the Upwork of Africa. The team TechSahara congratulates Kuhustle on this milestone. We will keep you posted as we get more information.