Cloud-based HR, payroll and benefits platform Employment Hero have raised $8 million during a Series B funding round co-led by employment marketplace SEEK and OneVentures, with contributions from AirTree Ventures and AMP.
The capital injection, which will be used to roll out new products and services, follows on from Employment Hero’s oversubscribed $4.5 million Series A round, which was led by OneVentures with co-investment by AirTree Ventures and AMP New Ventures in 2016.
Employment Hero was founded in 2013 by CEO Ben Thompson, whose motivation was automating manual employment processes for SMEs with a view to “taking the hard work out of people management and improving employee engagement”. Today, more than 1,500 businesses use the company’s employment management platform, which combines HR software, scheduling and payroll tools, performance management, employee benefits and financial services. Since 2015, the Sydney-based startup has enjoyed 10% month on month growth across revenue and users.
Thompson said that working closely with SEEK would make it easier for Employment Hero’s clients to move from recruiting to onboarding.
“We’re excited for a future where transitioning into new employment is a seamless and enjoyable experience and where the paperwork and administration for recruiters, HR business partners, employers and employees is drastically reduced,” he said.
“Given SEEK’s deep understanding of the employment landscape and the challenges faced by employees and hirers it is encouraging to have them back Employment Hero. It gives us even more confidence in the opportunity that exists for our business, and the value we can offer small to medium businesses and employees.”
Ronnie Fink, Corporate Development Director for SEEK, said he and his team are pleased to support the growth of a business that is closely aligned to his company’s mission to “help more people live fulfilling and productive working lives and help organisations succeed”.
Dr Michelle Deaker, Managing Partner for OneVentures commented on the “significant growth” achieved by Employment Hero heading into its partnership with SEEK, adding “is Ben Thompson and the team are executing well on the business plan to capture what is a very large opportunity. SEEK is well regarded for their positive impact on their investments and we look forward to the opportunity afforded by the partnership.”