Investment of $80 million by General Catalyst in Factorial

Factorial strengthens its position in the German market: With the new funding, Factorial plans to expand its presence in the German market and consolidate its role as a platform for HR and business management solutions.

Berlin, April 11, 2024 - Factorial, an all-in-one business and people management platform, has received an $80 million investment from General Catalyst. The US venture capital firm is supporting Factorial as part of its go-to-market strategy. This follows a successful Series C funding round in October 2022, in which the company raised 120 million US dollars and achieved unicorn status.

Enhanced financial flexibility for Factorial's growth

Since 2019, Factorial has expanded its client portfolio from 70 to over 10,000 companies worldwide. The new funding will enable Factorial to drive its growth while maintaining the financial flexibility to continue to expand profitably. General Catalyst's investment is expected to help Factorial accelerate its growth without burdening its balance sheet or diluting existing investors. Part of the costs will be covered by this investment, which will support the company in its expansion strategy.

Thanks to General Catalyst, we can accelerate our customer acquisition in a capital-efficient way to achieve sustainable and rapid growth.

Moran Laufer, CFO of Factorial

Moran Laufer, CFO of Factorial, emphasizes the importance of this investment for the company and its investors. This financing underlines the quality and resilience of Factorial and its ability to become a leading European technology company.

Focus on product development and engineering

Factorial plans to use the investment in product development and engineering to deliver world-class products to its customers even faster. This financial strengthening will allow the company to continue its current growth trajectory while making strategic investments.

This decision is in line with our goal of identifying and supporting innovative companies that have a significant impact on the market

Pranav Singhvi, Managing Director at General Catalyst

In Germany, Factorial serves a wide range of customers, including companies such as LOEWE IndustrieOfenBau GmbH, GIG Gesellschaft für Integrierte Gesundheitsversorgung mbH and Asphaltgold GmbH. General Catalyst's investment gives Factorial the opportunity to take a bold step forward in an extremely tight HR market. Especially in Germany, the labor market landscape is characterized by a high demand for efficient HR solutions.