There has been a growing demand for payroll related services across the U.S from a number of small businesses and merchants. ZenPayroll, a cloud based payroll startup, enables businesses to set up and run payroll within minutes, via any web enabled device. On August 29th, 2013 the company announced that it is processing over $100 Mn in payroll each year.
ZenPayroll was Co-Founded in 2011 by
Joshua Reeves (CEO), Edward Kim (CTO) and Tomer London (CPO). The company has received a total funding of $6.1 Mn through investors Y Combinator, Google Ventures, Start Fund, Jeremy Stoppelman, Tien Tzuo, Drew Houston, Aaron Levie and Pejman Nozad among others. ZenPayroll’s early customers included Y Combinator, SendHub, Clever, and SwiftType among others.
This video gives you an overview of their platform:
ZenPayroll offers small but frustration-saving features like the ability to e-sign documents and automate all payments.
Once a business signs up, there's a 10-15 minute setup process and the data never has to be entered more than once.
Bonuses, reimbursements and hours worked can be typed in below an employee's payroll information.
When the money has been transferred, ZenPayroll sends emails exclaiming "Cha-ching! You got paid."
Once an employee leaves the company, he can still access all of the information.
ZenPayroll’s service costs a base fee of $25 per month per company, and the first 10 employees cost $4 per month. After that each employee costs $2 per month.
“We switched to ZenPayroll from Paychex and haven't looked back since,” said Kristy Nathoo, CFO at Y-Combinator. “Online access to reports, easier employee on-boarding, and not having to phone in payroll information with a payroll specialist are a few of the many reasons I recommend ZenPayroll to all of the startups I work with.”
Another startup operating in this space is Justworks, an online payroll and benefits platform launched on 16th October, 2013. The company received a total funding of $1 Mn through investors
Index Ventures and Daring Journey Ventures. It enables businesses to easily manage payroll while offering large-company benefits and ensuring legal compliance.
ZenPayroll’s seed round of $6.1 Mn was the largest in Y-Combinator history. The company saw that the California technology community were quick to adopt their platform. ZenPayroll has branched out to traditional small businesses such as auto service stations, flourists, bakeries and accounting firms. "There's a big shift happening toward delightful, easy-to-use software," said Joshua Reeves. "We look at Square leading that shift. Generally businesses have never gotten the best software out there. We're trying to bring that shift to payrolls."</iframe>
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