The AI-driven hospitality procurement solution Reeco obtained $15 million through its Series A funding round. Aleph VC led the investment round that received backing from both Net Capital Ventures and Joule Ventures. The new investment round adds up to $25 million in total funding since the company received $10 million in seed capital during the year 2023.
The received funds will fuel research and development expansion, selling and marketing programs, and customer acquisition and platform capability development.
Transforming Hospitality Procurement with AI
Founded in Israel in 2021 by Henrik Shimony and Omri Shalev, Reeco relocated its U.S. headquarters to Miami in 2022, drawn by the city’s thriving hospitality sector and burgeoning tech ecosystem. The company’s AI-powered platform aims to revolutionize hotel procurement by replacing outdated systems with an integrated, automated solution.
Reeco streamlines procurement processes by enabling users to purchase from contracted vendors with just a few clicks. It also provides real-time food cost tracking, automated inventory management, and seamless invoicing—eliminating reliance on manual spreadsheets and fragmented supplier portals.
“Managing a hotel’s large-scale purchasing with outdated tools is inefficient,” said Reeco CEO Henrik Shimony, who brings first-hand experience from managing his family’s hotel business in Israel. “There is unprecedented demand for modernized procurement and back-office operations as hotels strive to stay competitive.”
Rapid Growth and Industry Impact
The adoption of Reeco resulted in an impressive 800% growth rate while the company started serving hundreds of hospitality businesses such as Vision Hospitality, OTH Hotels Resorts, and Scarlett Hotel Group.
General Partner Tomer Diari of Aleph emphasized that Reeco possesses strong capabilities in leading the industry transformation of hospitality.
Reeco has established itself to revolutionize hospitality procurement through AI technology while increasing its footprint in the industry to provide hotels with effortless data-driven operations optimization tools.
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