PaidHR, a Nigerian HR startup, is seeking to raise $1.5 million in a seed round to expand into new markets. The company, which processed ₦11 billion in salaries in 2023, previously raised $500,000 in February from investors like Zrosk IML, Zedcrest Capital, Microtraction, Expert Dojo, and Resilience 17.
Founded in 2020, PaidHR plans to use the new funding to scale its cross-border payroll product, which supports 49 currencies. This solution allows companies with employees in different countries to pay them in their local currency. According to CEO Seye Bandele, “We are building a cross-border solution but for the employed.”
The cross-border payroll feature includes a wallet, enabling employees to convert their salaries into any currency they prefer and spend directly. To ensure compliance, PaidHR partners with licensed financial institutions for transactions, earning revenue from transaction fees rather than holding deposits. This solution is designed to meet the needs of businesses with international teams, while also benefiting Nigerian clients looking to hedge against the naira’s devaluation.
The cross-border payroll is the latest addition to PaidHR’s suite of HR tools, which also includes onboarding, payroll management, compliance, and performance tracking. Last year, the startup launched an Earned Wage Access (EWA) feature, allowing employees to access part of their salary before payday.
PaidHR currently serves 20 businesses with a combined workforce of 60,000 employees. The company has processed over ₦20 billion in salaries this year and aims to enter three new markets by Q2 of 2025. The introduction of its cross-border payroll is expected to boost its growth and revenue significantly.
Bandele added, “Before creating the wallet feature, we thought of a way to help users spend from where they earn.”
