Harrogate and London-based fintech Grateful has raised £1.5 million ($2 million) in seed funding from Calculus Capital to accelerate the development of its automated tip pooling and Tronc platform for frontline workers.
Founded in 2022 by Mason Potter (CEO), Jarrod Potter (Chairman) and Damian Guy (CPTO), Grateful aims to solve one of the hospitality industry’s most persistent problems: the complex and opaque distribution of tips in a cashless economy. The startup’s software automates tip aggregation, compliance and payments, providing transparency for employers while helping employees receive their earnings faster and more fairly.
The founders were inspired by their experiences in the United States, where structured tip management increased morale and retention. In the UK, they saw operators “drowning in red tape” – using extensive Excel spreadsheets to manage Tronc systems while facing rising social security costs and new legal obligations.
Potter said the service sector’s outdated tipping systems were “failing both employees and employers.”
“Frontline workers are the backbone of the service economy, but they continue to be underserved by outdated systems that make tipping opaque, distribution slow and compliance a headache for employers,” he said. “With the transition to a cashless society and the new Employment (Tipping) Act, fair and transparent digital tipping has become essential.”
New legislation introduced in 2024 requires all tips to be passed directly and transparently to workers, driving demand for compliant, automated solutions like Grateful.
Grateful’s technology integrates digital tipping, Tronc management and employee benefits tools into one system, reducing manual work for companies while giving employees real-time visibility into their tips. The platform has grown 400% year-on-year, with over 50,000 users and partnerships with leading hospitality technology providers including Toast, EposNow, Deputy and PayCaptain.
The £1.5 million investment will fund Grateful’s next phase of growth – developing AI-powered financial tools, improving compliance functionality and expanding into new markets.
Alexander Crawford, co-head of investments at Calculus Capital, said: “Grateful’s platform brings fairness, transparency and compliance in a cost-effective way to an area that has historically lacked all three. As new legislation drives change, Grateful is perfectly positioned to lead the way and ensure that every hospitality worker He gets the tips he deserves.”
Potter added that Calculus’ support would help scale the company internationally: “Your support gives us the strength to build a platform that not only solves compliance issues for companies, but empowers workers around the world by giving them greater ownership and transparency over their hard-earned tips.”
Grateful’s mission is to become the industry leader in pay and benefits for frontline employees, helping employers improve retention and morale while streamlining compliance. “Our mission is simple,” Potter said. “Making Grateful synonymous with gratitude for the gig economy – and transforming the way frontline workers are rewarded in the modern era.”
