HR Tech startup SalaryFits raises $5 Mn
Employee Financial Benefits platform SalaryFits, an HRTech company based in 7 different countries from Brazil to India, has raised $5 Mn from the Brazilian VC Fund Confrapar. The investment aims to increase its presence in India and expansion in other key global markets spread across Latin America, Europe and Asia.
Guilherme Mota, Head of Operations at SalaryFits India stated, “SalaryFits brings a successful model that promotes financial inclusion and fairer access to financial products. Financial benefits and empowerment of employees' through financial well-being solutions is still at very nascent stages in India, and we are happy to bring forward our thought leadership in the country. We recently entered into a strategic partnership with a leading HRTech player, to bring our technology and concept to over 1 million employees.”
SalaryFits brings forward innovative and sustainable solutions for promoting financial inclusion and wellbeing of employees in the workplace. With 20 years of expertise in the Brazilian market, attaining a market share of 85% and having operational control over $20 Bn, SalaryFits promotes an effective channel inside the HR ecosystem where employees can afford better financial benefits, at no cost to the company and minimal efforts.
In India, there is a huge number of underbanked population and a growing, digital-savvy, youth generation entering the financial markets, who are categorized as “new to credit” (NTC). These individuals are being completely neglected by big banks that are using inaccurate risk assessment tools coupled with high levels of bureaucracy as per the current financial system. The company's cloud-based platform is able to create a digital-bridge between financial institutions and employees making possible a seamless interaction between each other.
SalaryFits recently entered into new partnerships for continued expansion in 2020. The HR Tech startup has also recently partnered with WishFin, a leading credit marketplace that will use SalaryFits technology to launch innovative lending products from next year. It is also in final negotiations and conducting tests with one of India's largest private banks.
As per a recently concluded survey, 56% of employees admit financial anxiety is impacting their jobs and, on average, are spending over 13 hours monthly worrying about their personal finances. This points out that there is a need for the proposition offered by SalaryFits and for organizations to offer better employees better financial benefits.
SalaryFits was also one of the participants of the People Matters TechHR Startup Program in 2018 that aims at identifying and recognizing HR technology startups in India and providing them with a platform to broaden their reach.