HR Software Startup Factorial Has Raised $120 Million At A $1 Billion Valuation. Here's The 11slide Pitch Deck It Used.

• Spanish HR tech startup Factorial has raised $120 million in new funding.
• The software enables employers to manage time off, hiring, payroll and other HR functions.
• The Barcelona-based company has become a unicorn after signing a new deal with Atomico.

Spanish HR tech startup Factorial has raised $120 million in funding to become the country's newest billion-dollar unicorn.

Founded in 2016, Factorial provides an HR platform for small and medium businesses. The Barcelona-based startup offers an integrated view of hours worked, compensation and performance, as well as salary and sick leave. Factorial claims to have around 7,000 customers, focusing on traditional small businesses that often lack larger HR functions or digital management tools.

"This is an exciting time for business," said Jordi Romero, CEO and co-founder of Factorial. "Our platform helps businesses grow when the economy is booming, so you can promote a rising star, but now in a downturn you need to be more precise in your decision-making, so you need more information."

Factoring inquiries have steadily increased since 2019, coinciding with the pandemic, changing business practices and aggressive hiring despite the current technology downturn.

The company launched in 2022 with 300 employees and now has more than 800, with Romero suggesting the company's workforce will reach 1,000 by early next year as it pushes for growth.

Factorial currently operates in Western Europe, Mexico and Brazil, but the startup recently opened an office in Miami, which Romero says will be a starting point for a bigger push into the US market in the coming months.

Amid fears that the market for venture capital funding could tighten further, the company entered into talks about a new funding round earlier this summer and closed the deal at a unicorn valuation a few months later.

"Compared to last year, this funding is taking longer, but we are still happy to be able to choose our partners," Romero added. "Our company does a lot of small business, so when an expert looks at our work and compares it to the references, it's a strong endorsement because being a unicorn didn't mean much last year, but this year because the bar is higher is. "

This latest round was led by Atomico with participation from GIC and previous investors including Tiger Global, CRV, K-Fund and Creandum.

Check out the factorial pitch deck below:

Panels - the long-term impact of architectural design decisions