Zenpayroll, a company that provides self service portals for users to manage their money and other items related to payroll in a better way has recently raised an amount of $6.1 million from a round in seed funding. The funding round was led by investors like Google Ventures and the CEOs of Yammer, Yelp, Box and Dropbox.
Having thus made the largest round in seed funding that any Y Combinator company can, Zenpayroll has now launched a cloud based payroll service.
However the lead investors have not been disclosed here though several of them have been actively involved in it.
Zenpayroll CEO Joshua Reeves says that the company will soon offer its users a much easier service than what is offered by other heavyweight companies in the payroll market like Paychex and ADP . A user using Zen payroll can sign up within ten minutes in order to gain an access to its dashboard.
The company supports both part and full time employees and also plans to support contractors in the near future. Adam Levie of Box Inc Comments
“Here’s why I’m so excited about ZenPayroll… First off, they’ve already assembled an amazing team: the caliber of people attacking this problem is unprecedented for the space. Second, it’s rare that you find a $10B+ category with this level of opportunity — it’s a market led by incumbents who have been around for decades that generally lack modern user experiences and business models. ZenPayroll is positioned to do for payroll what Salesforce did for CRM and Workday did for HCM. Furthermore, thanks to their delivery model and focus on simplicity, they’ll make payroll technology accessible to smaller businesses that still run off manual processes, expanding the market dramatically.”, as reported by Techcrunch.com
Ever since its seed funding round in April the company has taken the time to build its technology, and fill its team. The Zenpayroll team includes various veterans coming from the payroll industry and other engineers from Stanford.
Built at a time when the modern back office infrastructure formed its own ecosystem, the company has a scope for tremendous potential. However it will face its challenges with the small Business Market beginning to get fragmented.