Klaar, the San Francisco-based performance management platform, today announced it has raised $5 million in a Series A round led by Prime Venture Partners. The round also saw participation from existing investor Shastra VC, which increased its investment in this funding round.
The company also said that it has entered the US market. Klaar enters the US market in an era of hybrid and distributed work, a time when HR leaders are under increased pressure to foster engagement, retain high-quality talent, and drive productivity.
The funding will fuel Klaar's go-to-market initiatives in the US, new client onboarding, and the scaling of its India engineering hub, where the company plans to increase its engineering and AI workforce by up to 40 percent over the next 12 months. The India hub will be central to building and innovating Klaar's AI-powered solutions.
"Klaar powers timely, meaningful conversations that help any leader effectively mentor and coach employees and build a high-performing team," said Lana Peters, Chief Revenue and Customer Experience Officer of Klaar. "The Klaar executive team brings deep industry knowledge of human capital management, enabling organisations to optimise talent development, foster a strong culture, and deliver tangible results, Peters added further.
Klaar is already working with organisations in North America, including Vidyard, Armstrong, and Zenwork, helping them transform their approach to performance management, the company said.
"Performance management has remained one of the most under-served yet mission-critical areas in the HR technology landscape. Organisations globally are struggling to engage talent, align teams, and drive productivity. Klaar is tackling this challenge with a differentiated, HR-first, AI-powered platform that brings clarity, fairness, and effectiveness to performance conversations. We are excited to back Klaar as they embark on their journey towards becoming a global category leader in this space," said Amit Somani, Managing Partner, Prime Venture Partners.