New York has more freelancers per block than almost anywhere, and the strongest freelancer protections in the country. That combination has produced a set of NYC tech startups that sell banking, payments and talent networks to independent workers. This guide covers those companies, how they raised money, and the rules any freelance product has to be built around.
Freelance Isn’t Free Act complaints filed with the city
Complaints from freelancers to the NYC Department of Consumer and Worker Protection under the Freelance Isn’t Free Act, by year. A platform that books freelancers for $800 or more of work needs a written contract.
NYC freelance tech startups to know
Two New York companies serving freelancers from different sides: one handles their money, the other finds them work. Details were checked in October 2026.
Lili
Mobile banking and bookkeeping app for freelancers, sole proprietors and small business owners, with expense tagging, tax buckets and invoicing.
- Address: 131 Spring Street, New York, NY 10012
- Phone: (855) 545-4380
- LinkedIn: Company page
- Funding: Venture backed; the company site shows Foundation Capital, Target Global, Group 11, Torch Capital, ZEEV Ventures and Primary as investors. Round sizes are not published on its site. (source)
- Founded: 2018
A.Team
Network that matches companies with vetted independent product builders (engineers, designers, product managers, data scientists) and, since its 2025-2026 shift, also sells AI agent 'teammates' and forward-deployed engineering teams.
- Address: no street address published (map search)
- Phone: not published
- LinkedIn: Company page
- Funding: Raised a $5M seed led by NFX (2020) and a $55M Series A co-led by Tiger Global, Insight Partners and Spruce House in May 2022, for $60M total. (source)
- Founded: 2020
NYC rules a freelance product has to build around
- City law: the Freelance Isn’t Free Act (Local Law 140 of 2016) took effect May 15, 2017. It gives freelancers a right to a written contract, timely and full payment, and protection from retaliation, with double damages and attorney’s fees.
- State law: New York extended the protections statewide on August 28, 2024. The Department of Labor publishes a model freelance worker agreement, and complaints go to the Attorney General.
- The $800 threshold: the law covers work worth $800 or more, counting all contracts with the same client in the prior 120 days, under General Business Law 1410.
- Payment timing: with no date in the contract, payment is due within 30 days of completion, under General Business Law 1411. A marketplace that controls payouts should build that deadline into its product.
- Holding money: a platform that holds freelancers’ funds may trigger money transmission rules; most use a payment processor’s marketplace product. Ask counsel.
Where the opportunity is
- Money tools: banking, tax set-asides and invoicing for people without an employer, which is Lili’s market.
- Talent networks: curated teams of senior freelancers for companies, which is how A.Team raised a $55 million Series A in 2022.
- Compliance products: contract templates and payment tracking built around the state and city freelance laws.
How tech startups in this space get funded in NYC
- Venture capital: both companies above raised from investors; the site keeps a list of 25 venture firms with New York offices and a running list of NYC startups that raised money in 2026.
- Grants and matching money: software with real research behind it can qualify for federal SBIR grants, New York’s Innovation Matching Grants and the NY Ventures Pre-Seed and Seed Matching Fund. The AI startup financing guide lists each program with its official link.
- Tax credits: engineering payroll can earn the federal R&D credit, which early startups can apply against payroll taxes, up to $500,000 a year.
- Debt: once you have revenue, the NYC Future Fund and the lenders in the NYC small business loans guide cost less than a merchant cash advance.
Common questions
What is the Freelance Isn’t Free Act?
A New York City law in effect since May 15, 2017, extended statewide on August 28, 2024, that gives freelancers the right to a written contract, full and timely payment, and protection from retaliation, with double damages available.
When does a client have to pay a freelancer in New York?
By the date in the contract, or no later than 30 days after the work is completed if the contract sets no date.
What contracts are covered by New York’s freelance law?
Freelance work worth $800 or more, counting all contracts with the same client in the prior 120 days.
Related guides
- Photo tech startups in NYC
- Video tech startups in NYC
- IT support in NYC
- All NYC on-demand business guides
Updated October 2026. This is general information, not legal, tax, or financial advice. Rules and fees change, so confirm current requirements with the agency named before you act.