Announces $ 125 Million Series D Funding, Reaches $ 1.7 Billion Value
Personio consolidates its first human resources platform in Europe for SMEs
Personio, the all-in-one human resources platform for SMBs, today announced a new round of Series D funding of $ 125 million for a total value of $ 1.7 billion.
The new investment will accelerate the international expansion of the German software publisher, helping it in its ambition to become the leading HR platform in Europe for SMEs. The funding follows a year of strong business growth in which revenues doubled despite adverse market conditions.
Personio offers all-in-one HR software for small and medium businesses with 10 to 2,000 employees. Their mission is to make HR processes as transparent and efficient as possible so that HR can focus on the most valuable assets of the business: people. Personio’s software includes human resource management, recruiting, payroll and provides support for all the basic HR processes that every business needs to do. Currently, the company helps more than 3,000 SMEs across Europe unlock their production potential through digitization and automation of workforce management tasks. Among them are Spanish companies like Habitissimo, a platform for the reform and repair sector, and Bipicar, a vehicle underwriting company.
The latest round of investments was led by Index Ventures, a company that was already an investor in Personio and that has already backed top-tier software companies like Slack, Dropbox and Zendesk in their IPO. All other investors from Personio Accel – Lightspeed Venture Partners, Northzone, Global Founders Capital and Picus – have returned to participate in this latest round of funding.
They were joined by Meritech, which has a long history of supporting very successful SaaS companies, notably Salesforce, where they were the first outside investor, or more recent ones like Datadog, Snowflake and UiPath.
This latest funding comes just twelve months after the company received $ 75 million in Series C funding, in a round led by Accel, which brought Personio’s total investment to more than $ 250 million. .
The new capital will allow Personio to increase its expansion across Europe and focus on the development of its cloud-based software, while building the first human resources operating system in Europe for recruitment, personnel management and payroll. small and medium enterprises.
Personio’s plans for this year include:
● Improve and further deepen the capabilities of the product, to cover even more processes that support HR teams in their daily work and streamline people management across their organizations.
● The launch of Personio Marketplace with new integrations in the first quarter that will allow its customers to automate workflows with tools such as Slack, Microsoft Teams and other HR related software.
● Continue rapid growth in Germany, Austria and Switzerland, while doubling investments in markets where business was successful in 2020, such as Spain, UK and Ireland, Nordic countries and Benelux. In 2021, the company will also enter new markets, including France and Italy.
● To double its workforce in all countries from 500 to 1000 by the end of 2021, thanks to its four offices in Munich (HQ), Madrid, London and Dublin, where its new international sales and engineering center has been established.
While the funding also gives them the opportunity to make new acquisitions – like that of Spanish start-up Rollbox in 2019 – they currently have no plans for mergers and acquisitions and attention continues to focus on organic growth. strong and continuous.
Hanno Renner, Co-Founder and CEO of Personio: “While the past year has been difficult for many companies, at the same time it has accelerated the digitization of small and medium-sized businesses. It also demonstrated the important role of resource teams people, especially as many of us continue to work remotely. We are grateful for a year in which we have been able to grow and serve over 3,000 European SMEs. As we further develop our platform, we will continue to help our customers to meet their current and future challenges. “
“This investment comes earlier than expected, as we are still well covered by our previous round in January 2020. This strong interest and the support of our investors not only demonstrates the value of Personio’s offering, but also the enormous potential. which has the business for future development and growth. We are only scratching the surface. “
Martin Mignot, Partner at Index Ventures and Member of the Board of Directors of Personio: “SMEs are the backbone of the European economy, employing 100 million people across the continent. But it is also a sector that has been overlooked by software companies who mainly focus on large companies. Personio changes that by creating a powerful toolset tailored to the needs of small businesses. Under the leadership of the company’s co-founder, Hanno Renner, Personio has grown to become one of the most impressive and impressive companies in Europe and we are delighted to be working with him and his team as we continue to grow. they grow and meet the growing demand for their products. “
Alex Clayton, General Partner at Meritech Capital and New Personio Board Member: “We have had the pleasure of working with some of the most successful SaaS companies in the world and, given Personio’s success over the past five years and With enormous market potential, we strongly believe in Personio’s ability to build an equally successful and impactful business. After many important conversations with Hanno over the past few years, we are now delighted to join the journey. “
The latest assessment places Personio among the most valuable private software companies in Europe, as it joins companies like UiPath, N26, Deliveroo or Klarna in the ranks of European startups with a valuation of over $ 1 billion.
Over the past year, Personio has announced the expansion of its leadership team, with the hiring of three top executives: Geraldine MacCarthy as Director of Revenue (ex Dropbox), Ross Seychell as Director of staff (ex Transferwise) and Birgit Haderer as head of revenue. Finance (ex Zalando), as well as the promotion of Jonas Rieke, the company’s first employee, to the position of director of operations.