Workpay, a Kenyan cloud-based HR and payroll platform, has raised $5 million in its Series A funding round. The round was led by pan-African venture capital firm Norrsken22, with further participation from Visa, Y Combinator, and other investors. With this round, Workpay’s total funding has risen to nearly $10 million since its launch in 2019.
Founded by Paul Kimani and Jackson Kibigo, Workpay aims to shake up the HR management business in Africa with its revolutionary ideas. The platform offers solutions for payroll processing, time tracking, leave management, and employee benefits administration. It also addresses the challenges faced by small and medium-sized enterprises (SMEs) across the continent.
Speaking on the startup’s plans, Kimani, Workpay’s CEO, said the company plans to use the new funds to expand its presence across Africa and enhance its financial services offerings.
“Our goal is to become the go-to solution for employers and employees in managing HR, payroll, and work-related benefits. Our deep understanding of regulation across the African continent allows businesses working across multiple countries to manage payroll and tax using a single integrated platform. This raise will support Workpay to reach profitability, a huge milestone for our company.”
Workpay’s success comes at a crucial time, a time when Africa is projected to have the world’s largest working-age population by 2050. The platform currently serves over 1,000 businesses in more than 20 African countries, catering to both local companies with 20-100 employees and larger firms with up to 1,000 staff across multiple nations.
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Speaking on the fundraiser, Ngetha Waithaka, General Partner at Norrsken22, praised the investment, saying:
“Our investment in Workpay offers an exciting opportunity to revolutionise how Africa’s SMEs carry out their employee management. Africa boasts one of the largest working-age populations in the world and they remain grossly underserved by existing HR and payroll tools. With the addition of integrated financial services, Workpay’s potential for growth is immense.”
With this latest funding round, Workpay aims to reach profitability and continue its mission of simplifying HR processes for businesses across the African continent.
