Zenefits

Zenefits

Zenefits is an all-in-one platform for payroll, benefits, and employee management. The platform offers a combination of compliance services for payroll, performance and compensation management, and benefits solutions. It boasts a wide range of integrations with third-party enterprise tools ranging from productivity tools to performance management and employee engagement. Integrations include G Suite, Salesforce, Officevibe and Lattice. In July 2020, the platform launched  ‘People Hub’ which includes employee engagement surveys to get a pulse on employee sentiment. The platform has a presence in over 70 countries. The platform operates a subscription-based model with paid plans starting at USD 8 per user per month.

Key customers and partnerships

The company focuses on the small and medium enterprise (SME) segments and currently serves 11,000 businesses across 35 industries.

Funding and Financials

In March 2021, Forbes reported that the company closed a financing deal with private equity firm Francisco Partners, giving the investment firm control of its business. The financial details of the transaction are unknown; however, it is reported that the investment valued the company significantly lower than its previous rounds. The investment follows an extended period of turmoil for Zenefits. For instance, in 2020, the company laid off 15% of its workforce due to pandemic-related issues. The business focuses on the small and medium-sized enterprise segment, which was heavily affected by the Covid-19 pandemic. The company has seen its valuation halve from the USD 4.5 billion level it reached in 2015. 

In December 2021, TriNet announced plans to acquire Zenefits in a share and cash transaction. The acquisition was completed in February 2022.