Leading Japanese HR tech firm SmartHR announced a $140 million Series E funding round led by investment giants KKR and Teachers' Ventures Growth. Fueled by booming demand for solutions that streamline human resources operations, SmartHR saw its annual recurring revenue hit $100 million — signifying solid growth.
Founded in 2015, SmartHR has developed a robust cloud-based platform helping enterprises more efficiently manage HR processes and data. Leveraging advanced technology, the startup digests detailed employee information to rapidly build new productivity-enhancing products.
Competitors include domestic back-office software providers like Works Human Intelligence and freee. However, SmartHR distinguishes itself through a “system of record” capturing the most accurate workforce data. This powers innovative capabilities supporting clients with their evolving needs.
The fresh capital will fuel continued platform expansion alongside organic and acquisition-based business development strategies. Over 1,000 current employees will be hired as SmartHR scales.
Demand for HR technology solutions is surging globally as evidenced by counterparts like Rippling, Gusto and Deel. The market is projected to reach $81.84 billion by 2032 given expanded digitization across industries and geographic regions. Well-funded startups are actively tackling payroll, benefits, recruiting and more.
