Upwork is becoming the top destination for freelancers, and many investors see their potential to grow further. As a result, investments began to pour into the company, transforming the company as one of the fastest growing tech companies in the United States. Upwork resulted from the merger of Elance and Odesk, two companies specializing in freelance work. The merger took place in 2014, and its chief executive officer at that time managed to raise $100 million worth of funding. The top stakeholders of the company are Benchmark, owning a 15% stake, followed by Sigma Partners, Globespan Capital Partners, T. Rowe Price, FirstMark Capital, and SG Growth Partners, owning 14.2%, 12.9%, 10.6%, 5.7%, and 5.5% of shares, respectively. Another company expressed their interest of purchasing $32 million worth of stocks, and many others have stated that they are planning to buy stocks from the company in the coming months.
Upwork provided jobs to more than 375,000 people, and their revenue reached $225 million according to their latest S-1 filing. 95,000 employers are also working with Upwork, hoping to reach their professional freelancers found in 180 countries. Upwork does not make any direct profit, but they are relying on the fees made on each transaction, generating millions of dollars. Recently, the shares from upwork started to climb, from $12 to $23, and experts were surprised by the immediate changes in the company’s stock value. The current chief executive officer of the company stressed out that they are not after the profit, because their goal is to become the largest and the leading marketplace for freelancers.
Many people are relying on the platform to make money. Upwork believes that working in the future would be very different from the present, and home-based employment would become the norm in five to ten years. With more people expressing the importance of family, platforms like Upwork are seen to grow exponentially. Many people are also tired of commuting to work, and they find workplaces as stressful. Working at home, on the other hand, provides more freedom to an individual, and based on the recent studies conducted by researchers, productivity at home is significantly higher compared to the office.