Homejoy Is Going Out of Business

On-demand house cleaning service announces that it’s closing its doors.
On the heels of the US Department of Labor’s new interpretation of worker classification status, Homejoy, one of the first and top funded on-demand home service providers, has announced it is closing its doors. Adora Cheung, CEO of the home services platform which has raised $40 million dollars in capital from investors, including Google Ventures and Andreessen Horowitz, attributes this decision to obstacles the company has faced.  In an interview with Re/code, Cheung more specifically attributes the move to litigation concerns about worker classification, which pose risk to its investors.