Workpay, the Kenyan human resources payroll startup, has secured a $2.7 million pre-series A funding from Launch Africa, Saviu Ventures, Acadian Ventures, Proparco, Fondation Botnar, Kara Ventures, Axian, P1 Ventures and Norrsken. The startup previously raised $2.1 million in seed funding in 2020.
Launched in 2019 by Jackson Kungu and Paul Kimani, Workpay offers tools that enable its clients to pay salaries in local currencies across Africa (and outside the continent through the startup’s partners), file taxes and process employee benefits. Using its tools, employers are able also to track and manage employees’ time and attendance and leave days.
With the new funding, Workpay will launch its services in 40 countries in Africa, nearly double its current reach. Additionally, the startup plans to launch a payroll engine that can serve customers in more markets in a bid to stay ahead of their customers’ needs. The startup will also release an API to enable, for instance, accounting firms to be payroll providers.
Workpay is also adding financial services on top of its HR and payroll platform including linkages to investment accounts, medical and asset insurance and earned-wage access for employees attending to emergencies or bills.
Commenting, Paul Kimani said: “On the tech side, we have integrated with nearly everyone who is processing payments to allow us to send money to as many countries in Africa as possible. Non-tech means we have established a presence in these countries, and have partners that allow us to be compliant, which is very important.
“We are a full-stack HR Payroll company, and we help employees manage and pay their people. And ours is an elegant platform that processes payrolls and helps employers to be compliant.
“Since 2021 we have been doubling revenue every year and the number of our customers — who are nearing 700 as we speak. We also have about $200 million in total payroll value that we are handling for our customers annually.”
Thomas Otter, the general partner at Acadian Ventures, said in a statement: “Workpay is building a top-notch product, meeting the specific needs for HR and payroll in Sub-Saharan Africa.
“The addressable market in the region is growing rapidly and HR and payroll systems provide the foundation for fair and accurate pay. When combined with advances in mobile payments, solutions like Workpay can have a positive impact on businesses and society.”
