HR Software Firm Fingercheck Locks In $115M In Slow Funding Environment

Small business payroll and human resource software company Fingercheck raised a $115 million growth investment led by Edison Partners.

The round also included participation from StepStone Group and Columbus Capital.

In addition to the funding, the New York-based company also named seasoned executive Dan Kazan as CEO.

Fingercheck’s platform allows payroll and HR management to be set up in hours and supports posting jobs, onboarding, payroll, scheduling and shift management, and more.

“Our team is looking forward to this partnership. Edison Partners brings unparalleled expertise, resources, and network effects that will accelerate Fingercheck’s expansion and strengthen our competitive position,” said Joel Kohn, founder of Fingercheck, in a release.

HR funding

The round is impressive considering the precipitous fall in funding to HR startups in recent years.

During the height of the venture market in 2021, few sectors seemed to benefit as much as human resources — likely due to the fact businesses were undergoing major changes in the way they handled employees due to the pandemic.

In 2021, HR startups raised more than $10.5 billion in over 900 rounds, per Crunchbase data. In 2023, those numbers fell to $7.8 billion in more than 800 rounds, and then dropped to only $2.9 billion in 500 rounds last year.

This far this year, HR startups have seen only $1.7 billion in fewer than 300 rounds.

In fact, Fingercheck’s round is only the fourth raise in 2024 of $100 million or more in the sector. The largest round raised this year in HR tech is Rippling’s $200 million round that valued the San Francisco-based startup at $13.5 billion back in April.

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Illustration: Dom Guzman