| Jun 28, 2016
28 June 2016
Mathew Wu Media & Capital Partners
Employment Hero, Australia’s first and leading cloud-based freemium HR, payroll & employee benefits platform, has today announced its over-subscribed $3 million capital raise, in a transaction led by Venture Capital firm, OneVentures, and including investment by AMP New Ventures. Specifically, OneVentures have a focus on disruptive and transformative technologies with large addressable global markets including financial services.
The three-year-old startup, which already has 35,000 Australian employees and 500 employers signed up, will use the additional capital to accelerate its growth in the HR, Payroll and financial services market, offer more features and capabilities to new and existing members, and to catapult its international expansion into the United Kingdom.
The company’s HR, payroll and employee benefits platform removes the pain points for businesses managing their employees taking care of on-boarding, employment contracts, rostering and timesheets, superannuation provisioning along with accounting integrations.
In addition to its breadth of HR services, Employment Hero has signed major partnerships in the superannuation, health and mortgage industries, including all of Australia’s retail super funds as well as private health funds like Bupa.
Employment Hero not only benefits employers; employees can access a marketplace, providing hundreds of deals ranging from mortgage refinancing, health and insurance services, mobile phone plans, gym membership discounts, utility discounts and much more through the company’s extensive corporate partnerships.
Employment Hero CEO, Ben Thompson, said Employment Hero has already established its business and benefits model validated by its current subscription base of employees and employers. Its next step is to expand its partnerships and validate its international opportunities.
“Employment Hero has been a bootstrapped company from the start and didn’t need look for a capital injection right away. We’ve just raised our first round of capital to make sure we stay ahead and continue our rapid development cycle. There is no one else like us, and we want to keep expanding and innovating, so we’re offering more capabilities and features to our users as well as commence our expansion plans into the UK.
“Australia is an unusual market with 50% of businesses being less than 200 employees. Employment Hero is filling a market need here with a platform having global potential combining employer HR and payroll management capability in the cloud with employee benefits.
“Overall, what we are doing is likely to change the way that corporate super is administered. We want to position ourselves as disrupters, but also as helpful and strategic to existing businesses. We want to help them grown, reduce administration, to hire and retain talented employees, and to help employees get access to a marketplace of superfunds, health insurers, mortgages and other benefits. The platform is a win for our business clients and a win for the employee.”
OneVentures identified this growing market opportunity and Ben Thompson’s leadership position. Michelle Deaker, CEO and Managing Partner, said:
“The human resources marketplace is poised for significant growth in the next 10 years. Companies around the world are increasing their investment in HR infrastructure with spend in excess of $100 billion per annum and including other benefits potentially up to $1 trillion. Businesses are buying more products and services to help them realise the best return from their people and investing in automation to streamline the delivery of these services. The Australian market alone is worth in excess of $500 million with payroll $2 billion and financial services and mortgages commissions in excess of $7 billion.”
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More information about Employment Hero
Founded in 2014, Employment Hero is Australia’s leading provider of all-in-one software tools that transform the way employers manage HR and the entire employment lifecycle - its core HR platform is now free of charge to all businesses.
This cloud-based HR automation platform combines HR software, financial services, scheduling and payroll tools, as well as employee benefits, providing growing companies with an intuitive, affordable way to manage essential employee information and HR processes.
Employment Hero’s built-in employee benefits program, makes it simple and cost-effective for employers of all sizes to offer and administer a range of employee benefits typically associated with big employers. This includes health insurance, home loans, car leasing, discounted utilities, and much more.
Employment Hero has been placed in the top 10 of BRW Australia’s Most Innovative Companies 2015 and were accredited a best employer in Aon Hewitt Best Employers in 2013.
Employment Hero is headquartered in Sydney and has offices in Brisbane, Melbourne, Perth, and London.
Read more about Employment Hero: https://employmenthero.com/
More information about Ben Thompson
A former lawyer, Mr. Thompsons’s career began in finance, working as an in-house counsel for Sydney Futures Exchange. His career led him to move to the UK during the dot.com boom, where he realised his true passion: combining business and technology to create innovative new companies.
After being involved in helping several startups with their Initial Public Offerings (IPOs), Mr. Thompson decided to return to Australia and establish a business that would become a HR-based, one-stop-shop for employers and employees. Today, Ben’s business interests include Employment Hero, Employment Innovations, Power2Motivate, Global Reward Solutions and Keypay.
More information about OneVentures
OneVentures is a leading Australian venture capital firm with offices in Sydney, Melbourne and Brisbane. The company manages $175M across two main funds and several co-investment funds. The firm invests in emerging Australian companies with differentiated products particularly in the information technology and healthcare sectors addressing large and growing global markets.
OneVentures is managed by a team of partners with a track record of hands-on business execution and operational management: a unique blend of highly successful entrepreneurs, technology business founders and corporate executives with a strong technical and scientific pedigree, extensive off-shore experience and networks combined with investment management expertise. This skill-set makes the team ideally suited to supporting and mentoring entrepreneurial management to help them drive growth and create value in their companies and subsequently, through leveraging collective experience, reduce portfolio company risk and enhance portfolio returns for OneVentures’ investors. OneVentures is backed by Australia’s influential high net worth individuals and leading family offices.
OneVentures recently raised a $100M later stage growth and development venture capital fund (Fund II) focusing on technology rich companies servicing large addressable global markets across: healthcare, education, mobile, media, cloud computing and data, security and privacy, machine learning, software, sensors and robotics or food security.
Read more about OneVentures at www.one-ventures.com