Brazilian Workspace Marketplace Beerorcoffee Raises $10M

BeerOrCoffee Secures $10 Million Series A Funding

BeerOrCoffee, a São Paulo-based marketplace specializing in flexible office solutions, has successfully completed a $10 million Series A funding round. The investment was spearheaded by Kaszek, a prominent venture capital firm.

Investment Details and History

Valor Capital Group also contributed to this funding round, bringing the total capital raised by BeerOrCoffee to approximately $13 million since its establishment in 2017.

Previously, in 2018, Kees Koolen, the founder of Booking.com, led the startup’s initial seed funding round.

The BeerOrCoffee Marketplace

BeerOrCoffee functions as a B2B marketplace, connecting businesses with on-demand workspaces to facilitate hybrid work arrangements.

Currently, the platform features a network of over 1,100 shared workspaces situated across 160 cities in Brazil. Notable partners include WeWork, Selina, and Impact Hub.

Introducing OfficePass: A Corporate Benefit

The company’s core product, OfficePass, is designed as a corporate employee benefit. It provides access to a geographically diverse network of office locations.

Employers utilizing OfficePass operate on a payment-as-a-service (PaaS) model, only incurring costs for the workspace actually utilized by their employees.

According to Roberta Vasconcellos, CEO and co-founder of BeerOrCoffee, employees can select the most convenient location and reserve shared workspaces, meeting rooms, or private offices.

Notable Clients and Usage

iFood, a major client, extends the OfficePass benefit to its workforce of over 4,500 employees, utilizing a total of 240 different spaces in 67 Brazilian cities.

Other prominent clients include Itaú, Banco Inter, Creditas, QuintoAndar, Stellantis, Sodexo, MRV, Mapfre, and Movile.

Benefits for Companies and Employees

“We aim to enhance both work-life balance and employee productivity,” stated Vasconcellos in an interview with TechCrunch. “Simultaneously, we streamline company costs and time through our as-a-service model, centralizing workspace management within a single dashboard.”

Pandemic-Driven Growth

The shift towards remote and distributed workforces, accelerated by the pandemic, significantly boosted the company’s growth trajectory.

Vasconcellos noted, “We experienced a substantial increase in demand for our services, assisting companies in optimizing workspace utilization and empowering employees with flexible work options.”

Q3 2021 Performance

BeerOrCoffee reported a 243% increase in bookings made through its marketplace during the third quarter of 2021, compared to the preceding quarter.

The company did not disclose specific revenue figures.

Additional Offerings: Private Hubs

Beyond OfficePass, BeerOrCoffee also provides private “hubs,” or dedicated office spaces, with flexible lease terms.

This offering eliminates the need for companies to invest in infrastructure, such as furniture, internet connectivity, and cleaning services.

Company Culture and Future Expansion

BeerOrCoffee embodies its own principles; its team of 82 individuals has operated across more than five countries since its inception, as highlighted by Vasconcellos.

While currently focused on the Brazilian market, the company intends to expand its operations throughout Latin America in the future.

Kaszek’s Perspective

Hernan Kazah, managing partner and co-founder of Kaszek, expressed his firm’s longstanding admiration for the high-quality network of offices BeerOrCoffee has cultivated and the positive feedback received from its portfolio companies.

Investment Decision

Kaszek’s decision to invest was solidified by the belief that the trend towards more flexible working models is a lasting one, prompting them to reach out to Vasconcellos.

A Collaborative Approach

Kazah emphasized that BeerOrCoffee does not directly compete with coworking networks, but rather collaborates with them.

“Coworking networks are partners, and BeerOrCoffee operates as an asset-light company,” he explained. “As a marketplace, it doesn’t own or directly manage its supply, but provides the technology and products necessary for clients to locate and manage workspace solutions.”

“This approach also drives new demand to these workspaces, offering a cost-effective customer acquisition channel and enhancing their overall value through integration with the BeerOrCoffee network.”