Human resource and recruitment technology companies recorded N4.7 billion ($10.2 million) worth of deals in 2022.
This is according to information contained in the Corporate Deals Book Report for 2022 published by Nairametrics Research.
Here is a breakdown and compilation of top funds raised by Human resources and Recruitment technology companies operating in Nigeria during the year.
Seamless HR: SeamlessHR, is a Nigerian-based cloud-based HR and payroll software company which raised $10 million in Series A funding for its next phase of growth and regional expansion in January 2022.
The tech startup founded by Emmanuel Okeleji and Deji Lang aims to help African businesses to leverage the continent’s greatest asset and its abundant human capital.
The firms who led the rounds are Pan-African venture capital firm TLcom Capital, Capria Ventures and existing investors Lateral Frontier Ventures, Enza Capital and Ingressive Capital.
The company’s product is a cloud-based, end-to-end HR software that helps businesses manage and streamline their entire human resource processes and workflow.
Its product suite includes an HR management system, performance and competency management, HR analytics, leave management, disciplinary management, exit and offboarding, payroll management, recruitment management and reporting & analytics.
According to the founders, the funds will be utilized in terms of business expansion, that is in adding new features and functionalities to empower enterprises as they continue their incredible growth.
With the platform, you can get your hires off to a great start from the first day so they can have a smooth transition. HR leaders and managers can also keep a close eye on their performance during probation through to when it’s time for confirmation.
The platform also provides a demo before you make a purchase.
Its client base cuts across multiple sectors in Africa including renowned brands like PWC, Flutterwave, Sterling bank, Providus bank, TGI group, Lagos Business School, AXA, Kobo, Northwest Petroleum and Gas and Chapel Hill Denham.
Raenest: Raenest is a hiring and payroll platform that enables African entrepreneurs to incorporate remote contractors and workers. It was founded by Richard Oyome, Sodruldeen Mustapha, and Victor Alade.
Raenest received an investment of $100,000 from Techstars on a Venture Round in October 2022.
The platform was set up to solve the issues encountered by tech professionals or freelancers with remote contract jobs from overseas.
You hire an artisan to fix a problem and they end up creating an even bigger problem. We’ve been there too; it’s why we built LaborHack.
Some of these issues are in converting their salaries to local currencies and raising invoices every month.
Raenest was conceived by Victor Alade to solve this problem which he experienced as a software engineer searching for remote jobs and later while trying to recruit a Ugandan software developer during his time as an Engineering Lead at Acumen Fund.
Raenest handles hiring and payroll, allowing startups to hire from anywhere in the world without the need for a legal entity. They also handle taxes and contracts, as well as ensure that the employee’s salary is received within minutes. Employees can also convert their wages to their home currency at good rates. Employees are also provided with a variety of free pay-out options, including their bank accounts, mobile money, PayPal, Revolut, and TransferWise.
Employers are not left out, as they are provided with a virtual card on which they can set a spending limit and issue their employees official expenses. The platform also enables employers use a single currency to power payments in over 50 currencies.
Aside from Techstars, the company is backed by Ventures platform, Ajim Capital, and Voltron Capital.
LaborHack: LaborHack received an investment of $100,000 from TechStars on a Venture Round in October 2022.
LaborHack is a platform which provides an exclusive network of tested and certified artisans such as carpenters, plumbers, electricians, masons, welders, and more. The platform also connects them to the businesses and households that need them.
The firm partnered with accreditation agencies in the United Kingdom and the United States to test and certify local workers, thereby ensuring the company can provide a steady pipeline of workers that have both the theoretical knowledge and practical skills to deliver on the job according to global standards.
LaborHack’s certification programme qualifies and standardises workers through certifications such as the UK Engineering Construction Industry, Training Board (ECITB), UK City and Guilds and the American Welding Society
According to Ehiemua-Ochui, “…finally, construction industry players have a proxy they can use to make better hiring decisions. This intervention aims to significantly reduce material, time and financial wastage from the use of substandard talent, which many companies have previously reported to be as high as 50 per cent of their profit margin”.
The startup so far has established links to over 1500 artisans and over 400 businesses.
What you should know: Nairametrics documents all corporate deal transactions impacting Nigerian companies through the course of the year. The deals are from sources such as press releases and other official statements confirming such deals.
So far, the type of deals that consummated in this sector were mainly venture rounds and Series A funding.