Employee management fintech startup SalaryBox, has raised $4 million in fresh funding in a Seed round from new and existing investors including Y-Combinator, AME Cloud Ventures, Soma Capital and 2AM Ventures, the company said in a statement on Wednesday.
Angel investors including Gokul Rajaram of Doordash, Sriram Krishnan, former Tinder and Spotify executive, and Anand Chandrasekaran, former Facebook executive also participated in the funding round, the company said. SalaryBox plans to use the funds for customer acquisition, hiring new employees and building new products.
SalaryBox, in May this year, had raised pre-Seed funding from GSF Accelerator and other individual investors like Alok Mittal, chief executive officer, Indifi, Amit Ranjan, ex-co-founder of SlideShare, Sumit Jain, co-founder, CommonFloor, Gaurav Kapur, founder of Oaktree Sports and Surjendu Kuila, co-founder, Zopper.
“We will utilise these funds to further strengthen our tech, marketing and operational teams, build new products and scale our user base over the next year,” said Nikhil Goel, co-founder, chief executive officer, SalaryBox.
SalaryBox, founded in 2020, by IIT Roorkee Alumni Nikhil Goel and Peeyush Goyal, provides businesses an employee management solution through its mobile application. The application enables business owners to manage their payroll end-to-end, from attendance records and salary payouts, to filing of mandatory compliances. The firm aims to create a digital professional identity for the 300 million blue-collar workers who earn their salaries or wages in cash, it said.
“Salarybox will help these workers open their first salary account, while simultaneously making it much easier for small businesses to pay their staff accurately and on time,” Goel added.
SalaryBox’s investment in Y Combinator adds to its portfolio of fintech firms. In September, Akudo, a learning-focused neobank for teenagers, had raised $4.2 million (around Rs 31 crore) in funding led by Y Combinator and others. Y Combinator had also invested in WhatsApp-integrated merchant e-commerce platform Bikayi.