In recent years, remote workforces have become self-sufficient as companies seek to harness talent wherever they are, and various low-friction tools are being created to help these distributed teams work efficiently. They were all in the same physical space. Announced today is Remote, which has created a platform for hiring disparate workers and ensuring that they are paid simply and legally—in other words, a technology that allows businesses to remotely manage their workforce. With funding, it is becoming one of the big players in the HR world, targeting a global and distributed workforce.
The startup has raised $300 million, which it will use to provide tools to its clients. Expand your technologies and services to more geographic regions. SoftBank Vision Fund 2 is leading this round and also includes previous investors Accel, Sequoia, Index Ventures, Two Sigma Ventures, General Catalyst, 9Yards, Adams Street and Base Growth. The cost of the remote in this C series is over $3 billion.
Funding round size and timing – less than a year after Remote Key’s Series B $150 million round valuated over $1 billion in July 2021 – Emphasizes several things. Recent years have been focused on distributed work, a trend that started before COVID-19 but has certainly accelerated as a result; Second, how the console has expanded over that time.
The company says the number of employees processed through the remote platform has grown by 900% over the past year, which means a 13x increase in revenue over the same period (we asked, and the company doesn’t report any actual earnings or other specific figures). The pace does not seem to be slowing down, even as offices are slowly reopening and many parts of the world are returning to pre-pandemic routines.
At the other end of the spectrum from the tech world, there is evidence that some of the pandemic-driven theses-related money-making recession in recent years (such as rising demand in categories like remote work and delivery) is turning into a recession. But that trend also seems to be fading for remote devices, which accelerated this round last quarter.
Remote CEO Job van der Voort said in an interview: “The power dynamic between employers and employees has completely changed, with people feeling more empowered to work where they want and companies that have remote jobs. Bet on talent at the price you want. “We only see acceleration. If this trend had slowed down, we might not have been able to raise so much.”
remote client now From small startups to large enterprises, including GitLab, DoorDash, Hello Fresh, Loom, and Paystack, companies sometimes handle payments and remote management via remote management for at least four employees, while others process thousands. The services it provides today include payroll, benefits, taxes, and local compliance (including employer or record services) for contractors and full-time employees.
In terms of its presence, Remote currently says it provides services in “over 60” countries, but CEO Job van der Voort, co-founder of Remote along with Marcelo Lebre (COO and CTO), said he intends to expand his. 100 this year, eventually serving 140 countries.
The problem that telecommuting solves has long existed in the world of work, exacerbated by globalization. Hiring and administering hired contractors or employees—when they work outside the company’s headquarters and country, and perhaps not in the office, but at home—can be a difficult undertaking that comes with many different challenges. such as international banking, local labor law and human resource management. In most cases, companies have solved this problem by partnering with local employment agencies that manually handle the various processes for them, resulting in a costly and piecemeal approach that ultimately prevents companies from doing the process; Or not sticking to a policy that would be more beneficial for the company and its employees in the long run.
Van der Voort, a former VP of product at GitLab, where he was a proponent of remote work, but also someone who understood these issues firsthand: he increased the organization’s remote team from five to 450 employees. In the meantime, LeBrue was VP of Engineering at Unbabel, which creates tools for companies to interact with a global customer base, where he also worked with a distributed team and worked to improve the solution in this area. Saw an opportunity.
There are many tech startups on the market today that are tackling various aspects of remote work, including Papaya Global, Oyster, Deal, HackerRank, and Turing. The unique advantage of Remote is building your stack from the ground up, building and delivering employer accounting services, full-featured legal entities, payroll and benefits, visa and immigration assistance, and employee mobility, all in the cloud so the employer can manage teams. in different places from one panel.
The growth rate of the company in terms of its presence not only solves the complexities and challenges of creating such services, but also adopts an integrated remote approach.
“The reality is that it is very difficult to open a new country, and sometimes we cannot control the reasons for the delay,” said van der Voort.
The integrated approach explains the company’s technology and how it will scale. Notably, Papaya Global acquired Azimo last week solely to bring money transfer services into its fold — van der Voort noted that Remote is already in the heap.
Brett Rockkind, managing partner at SoftBank Investment Advisors, said: “The way people work has changed forever, and the transition to remote and hybrid work has allowed companies to hire people around the world, but it can be an intensive, costly and risky process.” . . in the statement. “Remote has built a full-stack global platform that provides a fast and convenient recruiting and hiring process for new employees, wherever they are. We are excited to partner with Job, Marcelo and the team to support our mission of unlocking the world’s great potential for every individual, company and country.