Less than a year after spinning off from Annapolis' Synaptic Labs, Baltimore startup Youreka Labs has been acquired by Boston software company Dispatch.
Both Youreka and Dispatch have a similar focus on assisting field service providers and the deal will enable Youreka to reach more customers with its technology, said Dan Bergner, co-founder and chief product officer for Youreka.
"More and more industries are relying on independent or hybrid workforces, which creates difficulty around standardizing experiences for both customers and field resources. The Dispatch platform helps service brands overcome these challenges just like we do," Bergner said in a statement Tuesday.
As part of the deal announced Tuesday, Youreka will remain in its Baltimore office at McHenry Row and all of its more than 50 employees will join the combined company.
"We'll continue to add folks to our Baltimore office," Bergner said in an interview with the Baltimore Business Journal.
Youreka CEO Bill Karpovich is becoming a part of the Dispatch board of directors as part of the acquisition. Bergner will become the general manager of Youreka as part of the combined executive team.
Additional terms of the deal were not disclosed.
Youreka has rapidly seen success since spinning off from Synaptic Advisors in 2021, quickly raising $8.5 million in Series A funding. The startup helps companies build mobile apps to assist offsite workers and technicians. For example, a company could create an app that provides information to a worker fixing a refrigerator or an at-home nurse helping a patient.
In a previous interview with the Baltimore Business Journal, Karpovich said the goal of the company was to help close workforce skills gaps by making it easier for inexperienced workers to complete complex procedures. Youreka counted several Fortune 500 companies, such as Procter & Gamble (P&G) among their clients. The company helped P&G build a network of 700 people, from what used to be a team of 15 experts, who could provide consulting in the consumer goods giant's industrial soaps division.
Dispatch meanwhile, assists brands with most aspects of working with an independent service provider, from a customer booking an appointment, to logistics on the day of service, and follow up after the service is complete. The company was founded in 2013 and is backed by more than $50 million in funding. The deal will bring Dispatch's employee count to over 100.
"The most crucial stage in that life cycle is where Youreka excels," Dispatch CEO Patrick Burns said. "Youreka solves the work execution or curb-to-curb phase in a really advanced way that fills a gap for us."
Dispatch, in turn, helps Youreka assist customers who also work with independent contractors, Burns said.
"This is a deal that gives us significant market opportunity, increased operating leverage and scale, and a platform to continue to invest and accelerate our growth," Burns said.
