Amsterdam- and San Francisco-based feedback platform Impraise secured a seed investment of 1.4 million euro, led by Amsterdam based VC-firm henQ in cooperation with Palm Drive Ventures from New York and China Growth Capital.
Impraise develops software that allows for feedback between co-workers, replacing the annual performance appraisal with a web and mobile app. "Big companies like Accenture, Deloitte and Adobe have recently shown it: the annual performance review is finally disappearing", says Bas Kohnke, ceo of Impraise.
The investment will help Impraise to expand its team and further develop the product. "We strongly believe in the vision that direct and peer to peer feedback will be the backbone of a platform which will create continuous improvement, progress and learning for people and organisations", said Coen van Duiven of HenQ in a statement.
Faulty performance review can cost large companies up to $35 million in lost productivity, says Impraise. The company, founded in 2014 by Bas Kohnke, Arnaud Camus, Filipe Dobreira and Steffen Maier, is part of American incubator Y Combinator.
Customers include Atlassian and Booking.com, who use Impraise in their daily workflow by inviting selected colleagues to comment on one another after meetings or projects. Since the company’s launch over 300,000 feedback interactions have been noticed on the platform.