Self-serve employment startup Multiplier has raised $13.2 Mn in a Series A funding round led by Sequoia Capital. In addition to the existing investors like India’s Surge, Golden Gate Ventures, MS&AD Ventures, and Picus Capital, Deepinder Goyal (cofounder, Zomato), and Amrish Rau (CEO, Pine Labs) also participated in the round.
Founded by Amritpal Singh, Sagar Khatri, and Vamsi Krishna in 2020, Multiplier is an employment solutions startup that helps its users tap into the global talent pool in a compliant manner without establishing legal entities abroad.
The startup was part of Sequoia Surge’s fifth cohort and had raised its seed round in July this year. Since then, the startup claimed it has doubled its customer base and has grown its revenue by 3x.
The startup will invest the fresh funds towards strengthening its full-stack platform and expanding global market coverage. It will also use the funds to expand payroll benefits solutions to businesses.
Multiplier’s platform allows companies to expand and employ internationally with automated compliance, payroll, and payments solutions combined into one integrated platform. In theory, this will enable companies to hire talent from anywhere in the world while complying with local rules and regulations.
Usually, companies taking up the gauntlet of hiring employees in other countries must set up a legal entity and ensure that employment contracts abide by local regulations. A separate payments infrastructure will also have to be set up in the local currency, complying with local banking and finance laws. Multiplier promises to take away all these hassles for its clients.
This is possible because Multiplier has set up multiple legal entities worldwide so that their clients can hire employees under those entities. According to the startup, this allows their customers to hire and onboard talent in minutes.
According to Korn Ferry, demand for skilled workers will outstrip supply by 2030, resulting in a global talent shortage of 85.2 Mn people. Without solutions in place, the financial impact of this shortage could read $8.452 Tn in unrealised annual revenue by the same time.
One way for companies to close this talent gap would be to access the global labour market, but different national labour laws, regulations and policies make this a compliance nightmare. If HRTech platforms like Multiplier can live up to their promise of cutting across the bureaucratic red tape, there is an increasingly large international market to tap into.
In the last financial quarter, HR Tech startup Hiration had raised $3 Mn in funding from Prime Venture Partners, Venture Highway, and Y Combinator. Just last week, blue-collar workforce management startup BetterPlace acquired OLX People and Waah Jobs.