Tailwind of remote work propels Employment Hero to $ 800 million valuation
Human resources tech startup Employment Hero has taken advantage of the remote work trend to raise more money, with the company raising $ 140 million in its most recent funding round.
The new influx of funds tripled the valuation of the Sydney-based startup’s paper to $ 800 million, with US venture capital giant Insight Partners leading the latest round. Its existing backers include the online job site Seek, venture capital firms OneVentures and Airtree Ventures, and Salesforce’s venture capital arm, Salesforce Ventures.
“I think people have unfortunately been put in very difficult circumstances and are trying to find a way to employ people remotely and we have done everything to help them do that,” said the co-founder and director. General Ben Thompson.
“It has become a bit of a tailwind for us and has helped us accelerate our growth as a business. “
The former employment lawyer started Employment Hero in 2014 with co-founder Dave Tong to provide an automated worker, payroll and productivity management service. It is used by more than 6,000 companies and collectively manages more than 250,000 employees.
Employment Hero has also entered the fintech space with its instant payout product, which allows people to receive their pay in real time.
“We have massive global ambitions as a company,” said Mr. Thompson. “So we are moving very fast and we have to keep moving very fast. “
The startup employs 325 people and Mr. Thompson expects Employment Hero, which has moved to a remote model first, to double its workforce again over the next year.
“It’s not just COVID that has forced people to embrace digital solutions for jobs, there is a general trend of digitalization and it is being driven by the Australian Tax Office with Single Touch Payroll, which has forced people to use new connected systems, ”he said. mentionned. “This is a trend that is not going to go away.”