Nigerian Startup PaidHR Secures $1.8M in Seed Funding to Expand HR Payroll Solutions Across Africa

Paidhr, a Nigerian startup that rationalizes HR and payroll tasks and workflows across borders, obtained $ 1.8 million in a seed financing cycle to extend its innovative pay and HR technology platform for African companies.

The financing tour was led by Acion Venture Lab and included the participation of Zrosk, Chui Ventures and Zedcrest Capital. It relies on the efforts to collect previous funds from the company, which saw 1.1 million dollars raised during the pre-series towers and not disclosed in 2023.

With this new capital, Payhr plans to accelerate product development, develop its customer support team and deepen market penetration into the African and SME sectors. The company also aims to improve features concerning financial well -being, regulatory compliance and HR analysis – crucial zones for the dynamic and diversified commercial landscape of Africa.

The co-founder Seye Landele underlined the mission of the company to build infrastructure reflecting African commercial realities. “We are committed to simplifying operations for SMEs and allowing them to extend through the continent”, “ He said.

AMEE PARBHOO, Partner Director of ACCION VENTURE LAB, praised PayHR’s capacity to mix automation with financial tools such as wage access won and dollars savings. “They do not only improve operational efficiency – they create new paths for financial inclusion”, “ she noted.

Founded in 2021 by Seye Bandele and Lekan Omotosho, Payhr helps more effective companies, freeing their time to focus on strategic work.

The software helps organizations to integrate, IRS, management of compliance with payroll, performance monitoring, asset management and wage access won to help companies rationalize their operations.

Earlier this year, the startup deployed Payhr Wallet, an all-in-one financial solution designed to give employees a total control over their income in the same place.

The portfolio deals with 1.3 billion ($ 835,134) in monthly transactions, employees choosing to keep wages on the platform for expenses or the economy. Payhr brings together approved partners for services such as invoice payments, winning a small margin (for example, 2% out of 10% of transactions).

Here are some of its main characteristics:

Access to instant wages: Employees can receive their wages directly in the PAYHR portfolio without bank delays or additional costs. You can switch your account details on your wallet ID for instant deposits.

Access to won wages (EWA): Allows employees to access up to 50% of their salary earned before the salary to cover expenses without interest or hidden costs. No refund is required because it is deducted from the following salary.

Free portfolio transfers: Employees can send money to colleagues or other people in the portfolio paid instantly and at no cost, ideal for dividing invoices or fast transfers.

Invoice payments: Pay public service bills, antenna time, data and cable television subscriptions directly from the portfolio with zero transaction costs. Most portfolio expenses go to high frequency expenses such as antenna time, data, energy bills and transport.

Transfers in global money: Supports international transfers to more than 120 countries in 49 currencies via a dollar account, simplifying cross -border payments.

Despite these financial characteristics, Payhr remains a platform focused on HR, not a fintech, with subscription fees as the main source of income.

Payhr’s impact is reflected in its impressive growth trajectory. Despite the launch during a world pandemic, the company reached a growth rate of 72.46% in annual sliding in 2023, a testimony of its resilience and its relevance. By 2024, Paidhr had treated more than 30 billion wages for more than 100 companies, double the treatment of $ 1,11.473 billion in 2023. This growth highlights trust companies in Payhr as a reliable partner for human resources management and payroll.

Serving more than 200 companies, including 100 African companies, Payhr had an impact on approximately 25,000 employees across the continent. Its customers include notable companies like Flutterswave, highlighting its ability to respond to small and medium -sized enterprises (SMEs) and large organizations. The friendly interface of the platform and reactive customer support obtained a net promoter score (NPS) which surpasses the average of the SaaS industry of +36, customers renting its ease of navigation and efficiency.

Payhr’s impact is a story of innovation, resilience and goal. By simplifying HR and Payroll processes, the company has enabled the company to save time and resources while allowing employees financial flexibility.

Its growth of an idea inspired by Gusto to a profitable RH-Tech platform serving more than 200 companies and 25,000 employees is remarkable. With 1.8 million dollars of new ambitious financing and expansion plans, Payhr should transform the future of work into Africa, a wage bill at a time.