PaidHR, the Nigerian HR tech startup transforming payroll and human resource management across Africa, has closed a $1.8 million seed round.
The investment was led by Accion Venture Lab, with strong participation from existing investors Zrosk, Chui Ventures, and Zedcrest Capital.
Founded in 2020 in Nigeria, PaidHR has rapidly expanded to reach Pan-African small and medium-sized enterprises (SMEs) and tech startups across Nigeria, Kenya and South Africa.
The majority of PaidHR’s users are logistics, retail, and manufacturing businesses with under 200 employees, whose reliance on manual, time-consuming processes has created inefficiencies and compliance challenges.
PaidHR’s all-in-one platform enables businesses to scale efficiently and improve employee wellbeing by formalizing HR administration, automating both local and cross-border payroll, ensuring full regulatory compliance, and providing tailored financial services to employees.
By 2030, half of all new entrants into the global labor force will come from sub-Saharan Africa. Currently, 44 million SMEs provide an estimated 80% of jobs across the continent; however, these businesses are often informal and unable to provide HR and financial services to their employees.
In Nigeria, 83% of the workforce lacks access to credit and cannot meet emergency and basic needs.
PaidHR aims to improve financial inclusion and promote economic resilience for Africa’s growing workforce. Through earned wage access (EWA), employees on PaidHR’s platform can access a portion of their salary before payday, helping to reduce reliance on predatory loans and alleviate financial stress.
PaidHR’s integrated multi-currency wallet allows employees to receive payments and save in both local currency and USD, helping them navigate financial instability.
The platform also leverages payroll data to connect employees to other financial products, such as credit and savings plans, through partnerships with financial service providers.
“We are building HR management for the African context, and this funding allows us to scale our vision, expand our reach, and deliver even more value to our clients,” said Seye Bandele, CEO of PaidHR.
“With the support of Accion Venture Lab and our returning investors, we are well- positioned to help small businesses grow and scale more effectively across borders.”
Amee Parbhoo, managing partner at Accion Venture Lab, commented: “PaidHR’s integrated platform is tackling deep-rooted structural challenges faced by small businesses and their employees in underserved markets, starting in Nigeria.
“By combining human resources automation with embedded financial services like earned wage access and USD savings, the platform not only improves how businesses operate, but seeks to deliver meaningful financial inclusion for workers.
“We are proud to support the team as they deliver scalable, cost-effective solutions that help strengthen small businesses and enable employees to take control of their financial lives.”
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