Childcare benefits startup Kinside launches with $4 million from investors including Initialized Capital –
Summary
We hit a nerve there and when we talked with them, we found that the biggest pain they expressed was that their employees were having a hard time finding childcare.” The U.S. is the only industrialized country without a national law that guarantees paid parental leave. “The worst case for bigger, more mature companies is a delayed return to work, which has a real impact on the bottom line because of lost productivity, but the deeper pain is when we lose the women,” Sigala says. “It’s documented that 43% of women in the professional sector will leave the workforce within one to two years of having a baby.” Other startups focused on early childhood care that have recently raised funding include Winnie, for finding providers; Wonderschool, which helps people start in-home daycares and preschools;and London-based childcare platform Koru Kids. In an email, Initialized partner Alda Leu Dennis said the firm invested in Kinside because “we have this fundamental problem of gender inequality which can be partially attributed to imbalances in the workplace and at home. By solving a problem that men and women have—access to affordable and high-quality childcare—we can improve this situation.” Dennis added, “the business model innovation that Kinside brings to the table is to involve employers in the process of bringing peace of mind and stability to their employees’ home lives and in turn making their employees more productive.” Sigala says Kinside sees itself as part of the benefits equity movement, including paid parental leave and, eventually, universal childcare for all working parents.