Despite challenging economic conditions, the HR tech sector remains on the upswing throughout 2023. Highlighting this trend is the recent success of HiBob, an Israel-based unicorn in the field of human capital management (HCM). HiBob has recently concluded its third investment round, securing a substantial $150 million. Noteworthy is that this round marks their third such funding achievement within a span of three years, with previous rounds closed last year.
In a recent funding round, the creator of the HR platform ‘Bob’ utilised by prominent organisations such as Cazoo, Gong, Monzo, Happy Socks, Fiverr, and more, got investment from Farallon Capital based in San Francisco, California, and joined by growth equity firm Alpha Wave Global from New York, alongside existing investors. With this influx of capital, HiBob’s total funding stands at an impressive $574 million.
The London-founded HRtech’s mission to revolutionise the future of work by emphasising a people-centric approach and making organisational culture a competitive advantage receives a significant boost through this funding. The investment will also bolster HiBob’s capabilities in delivering an exceptional, flexible Human Capital Management (HCM) platform tailored to modern, mid-sized, and multinational organisations.
This funding will not only power product innovation and development but will also facilitate HiBob’s strategic expansions into new geographies. It positions HiBob to effectively cater to enterprises and gain substantial market share globally. The growth equity infusion underlines the confidence investors have in HiBob’s potential to drive HR transformations and employee engagement.
Headquartered also in New York, HiBob’s flagship software ‘Bob’ serves as an integrated HR hub, efficiently managing attendance records, time-off schedules, and various employee data inputs. Futher, it enables employees to actively contribute to their data management, aligning with the company’s collaborative HR approach.
With the founding vision of Ronni Zehavi and Israel David, HiBob aims to disrupt the Human Capital Management (HCM) sector, providing an alternative to traditional platforms. HiBob empowers HR leaders, managers, and employees to adapt their processes in sync with the evolving work landscape, regardless of when, where, or how they operate.
“The role of technology in human capital management is constantly rising, and HiBob has consistently proven its product excellence as a mission-critical, full-service solution serving a diverse global customer base,” said Ido Krakowsky, Investment Director at Farallon Capital. “In a dynamic environment, HiBob enables HR leaders to serve an increasingly strategic function and adapt nimbly to evolving HR priorities. HiBob has established itself as the go-to option for organizations looking to streamline HR processes while emphasizing talent retention, employee engagement, and data-driven decision making. We look forward to working with Ronni and the team as HiBob enters this next stage of growth.”
“Our partnership with Farallon Capital and Alpha Wave Global is a testament to our continued leadership in the HCM software category. Modern HR leaders support teams across the business and across the globe, delivering agile, data-driven people solutions to today’s toughest business challenges. HiBob is enabling these teams with powerful HCM capabilities, helping our customers drive engagement and keep their people at the center of every strategic initiative. In a challenging economic climate, this new funding reflects the strength of our strategy, our business, and our ability to deliver results. We value the trust that Farallon Capital, as well as our existing shareholders, have placed in us,” said Ronni Zehavi, CEO and Co-Founder at HiBob.
Boasting over 3,500 customers and surpassing $100 million in Annual Recurring Revenue (ARR) in less than three years since achieving the $10 million ARR milestone, HiBob continues to exhibit substantial growth even amidst dynamic market conditions.