OnPay Secures $100 Million to Expand Payroll and HR Solutions
OnPay, a leading provider of payroll, HR, and benefits solutions, has secured more than $100 million in funding to further expand its suite of services. This significant investment includes $63 million in Series B equity financing, led by Carrick Capital Partners, with participation from AB Private Credit Investors and other existing investors. Additionally, a debt facility was provided by MC Credit Partners, though the exact value of this facility has not been disclosed.
Founded in 2009 and headquartered in Atlanta, OnPay serves over 25,000 small and medium-sized enterprises (SMEs) across the United States. The company offers a comprehensive suite of payroll, HR, and benefits solutions, including ‘no touch’ virtual cards, ACH transfers, and cheque and wire payment solutions. Notably, OnPay was acquired by business spend management platform Medius in 2022.
The new funding will enable OnPay to scale its capabilities, invest further in product development, expand partnerships and integrations, augment customer success teams, and accelerate its go-to-market strategy. This investment underscores OnPay’s commitment to providing SMEs with robust and integrated payroll, HR, and benefits solutions.
OnPay’s history is rooted in a long-standing family payroll business. When Jesse Burgess joined the company in 2007, his priority was to streamline processes and automate repetitive tasks for the six payroll clerks. This effort eventually led to the realization that the entire payroll process could be moved online, giving birth to OnPay. The company has since combined its extensive experience with the latest technology to develop fast, intuitive, and comprehensive payroll software designed specifically for small business owners.
The recent funding round is a testament to OnPay’s success and its potential for further growth. The company has been recognized for its excellence in combining payroll and HR needs, earning top rankings from reputable publications such as USA Today, Fortune, and PCMag. USA Today praised OnPay for its ability to work with leading benefits administrators, implement helpful HR tasks, integrate with third-party software, and track employee time, all while efficiently managing payroll. Fortune ranked OnPay as the best for combining payroll and HR needs, citing its abundance of features, competitive pricing, and a generous 30-day free trial. PCMag awarded OnPay the Editors’ Choice for 2024, highlighting its speed, flexibility, price, capabilities, and simplicity.
With this new funding, OnPay is poised to enhance its offerings and continue to provide SMEs with unparalleled levels of support. The company’s focus on customer experience, combined with its expertise in payroll and HR, positions it as a leader in the industry. OnPay’s commitment to investing in product development and expanding partnerships will further solidify its position as a premier provider of payroll, HR, and benefits solutions for small and medium-sized businesses.
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