Sorbet raises $6M seed led by Viola Ventures to tackle the thorny financials of paid time off

01 May, 2021

Sorbet raises $6M seed led by Viola Ventures to tackle the thorny financials of paid time off
Photo by Felix Fuchs on Unsplash

– U.S./Israeli startup Sorbet, which is tackling what companies do with the financial risks as employees accrue paid time off (PTO), has raised $6m in a seed funding round led by Viola Ventures, with participation by Global Founders Capital and Meron Capital.
– The company says that in the U.S., employees use only 72% of PTO balances, even though it’s the most sought-after benefit. But this, effectively, comes out at 768 million unused days off a year, worth around $224 billion.
– This creates a difficult problem for CFOs and accountants because its creates balance sheet liabilities on the company’s books.
– Sorbet buys out these PTO liabilities from employees, then loads the cash value of the PTO on prepaid credit cards for the employees.

Human Resources North Africa and the Middle East
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