March 2024 was a momentous month for HrTech, to say the least, with 14 startups raising an impressive $1.13 billion in funds.
This surge in funding wasn't just about numbers; it symbolized a collective belief in the transformative potential of HR technology.
With a sharp focus on talent acquisition, retention strategies, HR analytics, and data insights, these 14 startups captured the imagination of investors and industry observers alike.
The infusion of capital during this period is set to propel these startups toward growth and innovation, paving the way for a transformative shift in the HR Tech landscape. With strong investor support, the future of HrTech looks promising.
Dayforce, acquired Ceridian, offers an on-demand pay solution that lets employees access their earned wages whenever they need. It's popular with over 1,450 organizations and has delivered over $1 billion in earned wages since 2020. Employees appreciate the flexibility, conducting an average of 25 transactions per month.
- Funding Amount: $1B
- Funding round: Post-IPO Debt
- Lead Investors: —
Nanonets, a San Francisco-based tech startup, offers an AI-powered workflow automation platform. The company aims to transform how businesses handle repetitive office work by using autonomous AI agents to automate complex processes, saving time and money.
- Funding Amount: $29M
- Funding round: Series B
- Lead Investors: Accel
Remofirst is an HR startup that helps businesses hire full-time remote employees from around the world. They simplify the process by handling tasks such as establishing a formal presence in each country, managing legal contracts, and handling benefits.
- Funding Amount: $25M
- Funding round: Series A
- Lead Investors: Octopus Ventures
Borderless AI is a company using generative AI to automate and speed up international team management processes in HR. Their AI agent, Alberni, streamlines tasks like generating employment agreements and expense reimbursements, bringing efficiency to the HR industry.
- Funding Amount: CA$27M (US $19.9M)
- Funding round: Seed Funding
- Lead Investors: Susquehanna International Group (SIG) and Aglaé Ventures
ZayZoon is a financial empowerment platform for SMBs, offering instant payday access and educational resources to help employees break the paycheck-to-paycheck cycle. It has been shown to reduce financial stress for employees and decrease turnover for employers.
- Funding Amount: $15M
- Funding round: Series B
- Lead Investors: Viola Fintech, Intuit Ventures
Deep Lake is a database for AI, optimized for deep-learning and LLM applications, offering comprehensive storage, querying, and integration capabilities. Used by leading organizations like Intel, Bayer Radiology, and Yale, Deep Lake simplifies AI deployment and management for businesses of all sizes.
- Funding Amount: $11M
- Funding round: Series A
- Lead Investors: Streamlined Ventures, Y Combinator, and Samsung Next
Wagely is a financial wellness platform that gives workers instant access to their daily earnings and helps them manage their money better. It's free for employers to offer as an optional benefit to employees in Indonesia and Bangladesh.
- Funding Amount: $8.3M
- Funding round: Seed
- Lead Investors: Capria Ventures
Foundational is a startup that simplifies data infrastructure. Their platform analyzes data teams' code, identifies issues, suggests fixes, and prepares data for AI applications. They've made their technology available to companies like Ramp and Lemonade.
- Funding Amount: $8M
- Funding round: Seed
- Lead Investors: Gradient Ventures
OpenPipe offers a simple way to integrate your own fine-tuned model into your GPT-4 prompt. Fine-tuned models are cost-effective, fast, and consistently accurate compared to manually crafted prompts. For projects and businesses making at least 1000 calls to an OpenAI prompt daily, switching to a fine-tuned model can improve speed, cost, and quality without sacrificing.
- Funding Amount: $6.7M
- Funding round: Seed
- Lead Investors: Costanoa Ventures
Tarsal is an ETL data pipeline for security teams, enabling easy data extraction, normalization, and transfer to preferred destinations. It supports seamless data ingestion and analysis across various platforms, reducing costs and eliminating the need for extensive in-house engineering.
- Funding Amount: $6M
- Funding round: Seed
- Lead Investors: Harpoon Ventures and Mango Capital
RemotePass specializes in aiding companies with the onboarding, management, payment, and retention of remote workers. Its clientele includes a variety of organizations, from startups to major enterprises like Spotify, Logitech, and Paymentology.
- Funding Amount: $5.5M
- Funding round: Series A
- Lead Investors: Khwarizmi Ventures
DianaHR offers businesses access to a team of expert HR and Operations professionals who manage state compliance, employee onboarding, HR inquiries, and more. Businesses can utilize their software tools while the team of experts handles the operations, ensuring efficient and compliant processes.
- Funding Amount: €1M ($1,07M)
- Funding round: Pre-Seed
- Lead Investors: —
Talentware provides a modular SaaS platform for companies, offering AI-powered skill mapping, planning, and mobility features. It focuses on developing specific skill gaps and includes growth reviews to collect feedback and measure progress.
- Funding Amount: €800k ($862K)
- Funding round: Pre-Seed
- Lead Investors: 360 Capital
Stayf is a B2B SaaS company that enables employees to foster social connections through communities and well-being tasks. The startup, founded by experienced entrepreneurs, has demonstrated strong traction and has launched pilot projects with several major clients.
- Funding Amount: €650k ($699K)
- Funding round: Pre-Seed
- Lead Investors: AltaIR Capital, Yellow Rocks, and Smart Partnership Capital
Here’s a list of some lead investors in the HrTech sector 👇
- Accel: Accel is a seed and growth-stage venture capital firm that helps a global community of entrepreneurs.
- Susquehanna International Group (SIG): SIG is a global quantitative trading firm committing its own capital to trade financial products around the world.
- Octopus Ventures: Octopus Ventures is a venture capital firm that offers support to companies at various stages of their journey, from idea conception to IPO.
- Viola Fintech: Viola FinTech is a cross-stage venture fund that invests in global fintech companies alongside venture investors.
- Streamlined Ventures: Streamlined Ventures is a seed-stage investment firm focusing on Data Science, APIs, Blockchain/Web3, AI, and Software Automation.
- Capria Ventures: Capria Ventures is a Global South specialist venture capital firm investing in applied Generative AI, connecting founders into a uniquely collaborative.
- Gradient Ventures: Gradient Ventures, a new firm within Google, that invests in early-stage AI start-ups.
- Costana Ventures: Costanoa Ventures focuses on early-stage investments in enterprise software and infrastructure companies.
- Harpoon Ventures: Harpoon is an early-stage venture capital that specializes in finance and investment management.
- Khwarizmi Ventures: Khwarizmi Ventures is a venture capital firm that seeks investments in startups with a passion for algorithms.
- 360 Capital: 360 Capital is a Venture Capital firm investing in early stage, innovative deeptech & digital enterprises across Europe.
- AltalR Capital: Altair Capital is a private equity firm focused on buyout or significant minority investments in quality companies across Southeast Asia.
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