• In 2020, the company received Sh261.5 million ($2.1 million) in funding for growth purposes.
• In 2022, the company expanded its services to over 10 African countries including Rwanda, South Africa, Tanzania, Uganda, and Zimbabwe.
Image: COURTESY
Kenyan HR and payroll startup Workpay has secured Sh 340.9 million ($2.7 million) in pre-series A funding to continue its expansion across Africa.
The funding aims to enable the firm to improve its existing products and services i.e., human resource, payroll, compliance, and benefits solutions.
It also aims to enable Workpay to introduce new product lines and expand into new markets across Africa.
Investors who participated in the funding round included Acadian Ventures, Axian, Fondation Botnar, Kara Ventures, Launch Africa, Norrsken, Proparco, and P1 Ventures.
In 2020, the company received Sh 261.5 million ($2.1 million) in funding for growth purposes.
In 2022, the company expanded its services to over 10 African countries including Rwanda, South Africa, Tanzania, Uganda, and Zimbabwe.
Speaking to TechCrunch, Workpay co-founder, and CEO Paul Kimani said that they plan to launch a payroll engine that can serve customers in additional markets.
This is in a bid to stay ahead of their customer’s needs.
He said that on the tech side, they have integrated with nearly everyone who is processing payments which allows them to send money to as many countries in Africa as possible.
“We will release an API to enable accounting firms, for example, to become payroll providers,” Kimani said.
“Non-tech means we have established a presence in these countries and have partners that allow us to be compliant which is very important. As an employer, you can pay employees wherever they are, and in their preferred accounts as well as file taxes. They don’t have to be forced to open accounts with specific banks just because the employer banks there.”
Launched in 2019, Workplay offers tools that enable clients to pay salaries in local currencies across Africa, file taxes, and process employee benefits.
Using its tools, employers are also able to track and manage employees’ time and attendance as well as leave days.
An employee-side app enables workers to receive and view their payslips, apply for leave days as well as make expense requests.
Workpay is also planning to add financial services on top of its HR and payroll platform.
These include linkages to investment accounts, medical and asset insurance, and earned-wage access for employees attending to emergencies or bills.
“We are building a marketplace, and bringing in other players that can serve employers and employees on our platform,” Kimani said.
Kimani added that Workpay has experienced great growth in revenue and clientele, with a spurt noted after the COVID slowdown in 2020.
He said that since 2021, they have doubled revenue every year with a customer base of 700 clients.
They also have about Sh 25.25 billion in total payroll value that they handle for their customers annually.