Kenyan workforce management platform, Workpay, has raised $5 million in a Series A funding round. This comes after securing $2.7 million in pre-Series A funding in 2023.
The funding round was led by Norrsken22, a tech growth fund, with participation from Visa, Axion, and Y Combinator.
Workpay plans to use the new investment to improve its performance management tool using artificial intelligence. The company also aims to expand its operations across Africa and strengthen its financial services.
Expansion Plans and Service Offerings
Founded in 2019 by Paul Kimani and Jackson Kungu, Workpay offers a cloud-based platform for payroll and HR management. The platform manages the entire employee lifecycle, from onboarding to offboarding.
Workpay’s services include payroll processing, time tracking, leave management, expense tracking, performance management, employee benefits administration, and Employer of Record (EOR) solutions. The startup has a presence in over 1,000 businesses across 20 African countries.
The platform’s time and attendance tracking features help businesses boost productivity and ensure compliance with labor laws. Workpay supports two customer segments: businesses with 20-100 employees in a single location and companies with 100-1,000 employees across multiple regions.
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Revenue Growth and Future Plans
Workpay reported a 1.5x revenue increase in the first half of 2024. The company plans to navigate Africa’s diverse regulatory landscape to continue scaling.
Besides payroll services, Workpay aims to offer a comprehensive HR solution. This includes medical and vehicle insurance, and potential partnerships for lending, saving, and investment options. The startup focuses on simplicity and cost-effectiveness in meeting both corporate and employee needs.
Workpay was among the startups selected for Visa’s Fintech Accelerator in November 2023. Notably, it is the only company publicly funded by Visa. In 2024, Visa has also partnered with Nigerian fintech Lemfi, Egyptian banking company, Ghana’s GhIPSS, and Absa Bank Kenya.