Funding will drive Reeco’s strategic growth initiatives as it streamlines back-of-house operations for North American hotels
Reeco, the leading AI-driven procure-to-pay platform for the hospitality industry, announced today it has secured $15 million in Series A funding. The round was led by Aleph VC, with participation from Net Capital Ventures and Joule Ventures, this series bringing Reeco’s total funding to $25 million.
The funding will support research and development, customer acquisition, the scaling of sales and marketing teams, and the delivery of new platform features. This investment will fuel the company’s strategic growth initiatives, including the accelerated advancement of the Reeco platform. The solution frees the industry’s back-of-house teams from Excel sheets and punchout systems with a seamless, customized plug-and-play store that integrates with operators’ preferred vendors. It also digitizes inventory audits, enabling quick and accurate counts of products, including alcohol; introduces real-time pricing for food and supplies; and automates GL coding for accounts payable departments.
The hospitality industry has long relied on manual procurement processes and legacy systems that result in a cascade of challenges, including unreliable data, volatile pricing, ineffective inventory management, and fractured vendor relationships, which hold hospitality companies back from achieving operational peak performance for their stakeholders. The industry clearly needs a modern, transformative solution to move forward.
Reeco’s AI-driven procure-to-pay platform eliminates these challenges by unifying procurement, inventory, and accounts payable into a single system. The platform brings unprecedented efficiency to every step of the process and transforms how hospitality companies manage their operations. The unified system seamlessly integrates every critical function — from receiving goods in record time and managing recipes digitally to track real-time food costs, to auditing inventory effortlessly and handling payments. In less than two years, Reeco has achieved an 800% adoption growth rate, transforming operations for hundreds of customers, from full-service resorts to select-service properties.
Reeco was born from the unique insights of Henrik Shimony and Omri Shalev. Shimony’s deep experience managing his family’s hotel operations and Shalev’s software engineering expertise from roles at Microsoft and Samsung revealed a critical gap: while consumer shopping had embraced digital solutions, hotel procurement was stuck in the past.
This Series A funding reflects strong investor confidence in our vision to revolutionize procurement in the hospitality space,” said Henrik Shimony, co-founder and CEO of Reeco. “We’re witnessing unprecedented demand as operators recognize that modernizing their procurement and back-of-house operations is no longer optional — it’s essential to remain competitive in today’s market. With this funding, we’re enhancing our platform development to meet growing demand, expanding our technological capabilities while maintaining the exceptional service our customers rely on to transform their operations.”
“Reeco benefits from a charismatic founding team with deep domain expertise and a strong pull from the market,” said Tomer Diari, general partner at Aleph. “It’s already demonstrated strong product-market fit and is positioned to transform one of the largest sectors in our economy. We are highly impressed by what the Reeco team has accomplished and are excited to partner with them and support their journey.”
“Reeco is the only platform that connects purchasing, receiving, recipe management, inventory control, and accounts payable,” said Omri Shalev, co-founder and CTO at Reeco. “By using these modules on the Reeco platform, hotels can finally eliminate data silos, ditch their Excel spreadsheets, and stop toggling between supplier portals and paper forms. Gone are the days of manual data entry, scattered paper trails, and jumping between multiple supplier websites. Any team member — from executive chefs to controllers — can quickly master the system and start optimizing their operations immediately.”
“Before Reeco, I spent more than 20 years managing a disorganized and time-consuming procurement process that involved Excel sheets, calling our suppliers, checking our emails,” said Brian Archibald, Executive Chef at Playa Largo Resort & Spa, an Autograph Collection Hotel. “Reeco has completely changed how we operate. Hotel procurement, inventory auditing, recipe management — it’s all on one customized, consistent, and dependable platform that saves me and my team so much time and money, allowing me to spend more time being creative and less time chasing vendors.”
Leading hotel operators Vision Hospitality, OTH Hotels Resorts, and Scarlett Hotel Group credit Reeco with improving profit margins and operational efficiency in purchasing, housekeeping, food and beverage, and maintenance and engineering.
“Reeco has completely modernized our accounts payable processes and saves us significant dollars in both operating costs and labor,” said Arlene McCullough, senior vice president of accounting at Vision Hospitality Group. “Before, our properties struggled with GL coding and managing blind spots across back-of-house operations. With Reeco, GL coding is automated. I have real-time visibility into spend, at the property and department level, without having to waste time and money searching for answers. Reeco’s AI and leading-edge technology improves efficiencies and drives margins across your portfolio. In today’s ultra-competitive marketplace, Reeco is a must-have.”
“Managing a hotel’s six-figure purchases with outdated tools made no sense,” Shimony said. “I could shop for groceries at home with the best tech available, but at the hotel, I was managing purchases in the hundreds of thousands with little technology or tracking. From select-service hotels to a full-service property, the purchasing processes are stuck in the past. That realization inspired us to build Reeco — a platform that gives hotels the same efficiency and transparency available in consumer shopping and so much more.”
Header Image: Henrik Shimony (CEO) and Omri Shalev (CTO)
Credit: Sky Shalev
