Nigerian startup PaidHR has successfully raised $1.8 million in a seed funding round aimed at expanding its payroll and HR technology platform tailored specifically for African enterprises. Founded in 2020 by Seye Bandele and Lekan Omotosho, the company has developed a comprehensive platform that integrates payroll processing, human resources information systems (HRIS), compliance tools, performance management, and earned wage access. This suite of tools is designed to address key operational challenges faced by businesses across the continent.
PaidHR’s infrastructure supports payments in 49 currencies, enabling companies to pay employees in local currencies and manage HR processes seamlessly across borders. This geographic flexibility reduces complexities often associated with cross-border operations, making it easier for African businesses to grow and operate efficiently. The company had previously raised a combined $1.1 million through pre-seed funding and undisclosed rounds earlier in 2023. The latest round was led by Accion Venture Lab, with continued backing from Zrosk, Chui Ventures, and Zedcrest Capital.
The newly raised capital will primarily be used for further product development, expanding the customer support team, and increasing market penetration across Africa’s enterprise and SME segments. Furthermore, PaidHR plans to enhance its offerings around financial wellness for employees, regulatory compliance, and HR analytics, areas critical for supporting Africa’s diverse business landscape.
Co-founder Seye Bandele emphasized the importance of building infrastructure that reflects the realities of African businesses. With investor support, PaidHR aims to simplify operations for small and medium enterprises while enabling them to scale more effectively across the continent. Amee Parbhoo, from Accion Venture Lab, highlighted that PaidHR addresses longstanding issues in underserved markets by blending automation with financial tools like earned wage access and dollar savings. She noted that such platforms not only boost back-office efficiency but also create new channels for financial inclusion among workers.
In a region where payroll systems can often be fragmented and regulatory environments are highly variable, platforms like PaidHR stand out by offering holistic solutions that combine operational efficiency with employee financial empowerment. Their growth and traction reflect a rising demand for software capable of handling operational tasks while also addressing the financial needs of employees, especially in markets with limited access to timely wages and digital financial tools. Overall, PaidHR is positioning itself not only as an HR solution but as a key enabler of operational stability and economic inclusion for African businesses.
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