By Karim Gillani & Khrystyna Penyk, September 24, 2024
We are thrilled to announce our investment in Nmbr, a Toronto-based company that is revolutionizing payroll with its modern and scalable embedded payroll platform. We led this $7.6M seed round alongside Motivate Venture Capital, out of Chicago, with participation from Golden Ventures and Panache Ventures.
Payroll is the largest expense item for most companies, a critical function that directly impacts employees and overall business operations. Yet, despite its importance, the payroll landscape has long been dominated by archaic solutions such as Dayforce (previously Ceridian) and ADP, platforms that have struggled to evolve with the pace of modern business needs. These legacy systems are often cumbersome, difficult to integrate with other software solutions, and not designed to meet the flexibility and scalability demands of today’s workforce. Furthermore, these offerings are typically “standalone” and don’t communicate with other back office tools without manual intervention.
In stark contrast, Nmbr enables a modern alternative. Their payroll-as-a-service platform is built to be seamlessly embedded into financial services, vertical SaaS, HR Information Systems (HRIS) and other software applications. The result is an integrated solution that can be customized to each partner’s specific industry. With Nmbr, businesses can finally access payroll in the systems they are already using today. The platform is designed to transform how companies think about payroll, turning a traditionally burdensome task into a streamlined, integrated part of a company’s broader operational strategy.
Embedded payroll is more than just a trend. It’s a transformative shift in how businesses manage their financial operations. By bundling payroll functionality directly into existing products, Nmbr simplifies the payroll manager’s life, making it easier to handle payroll alongside other critical business functions. Imagine managing payroll in the same place where you oversee HR, accounting, vendor payments, invoicing and other back office processes. Imagine adding a new employee to your ERP system and that same employee is then automatically set up for payroll with the correct tax deductions enabled. No more switching between different products or provisioning an employee’s details in five different systems. This unified approach not only saves time but also reduces the risk of errors and ensures a more cohesive user experience.
Nmbr features a modular, API-driven architecture that can be customized to meet the specific needs of different vertical SaaS applications. This enables businesses to offer payroll functionality without having to build or maintain their own payroll product, significantly reducing time-to-market. Additionally, Nmbr’s platform is built with compliance in mind. Payroll is one of the most regulated areas of business, with complex rules and regulations varying across different jurisdictions. Nmbr ensures that all payroll processes are compliant with local regulations, handling the complexity of calculations, withholdings, and remittances with precision.
By embedding payroll directly into the software stack, Nmbr provides a seamless experience for end-users. Payroll managers can direct payroll capabilities alongside other functions like HR or financial management, all from one platform. Whether a business is a startup or a large enterprise, Nmbr’s platform is designed to scale with its needs, making it a versatile solution for SaaS providers looking to grow their customer base. The platform’s scalability ensures that it can handle everything from small-scale operations to the complexities of large corporations, offering a tailored solution that meets the specific demands of any business.
Nmbr’s founding team consists of seasoned entrepreneurs who understand the nuances of payroll from start to finish. Simon Bourgeois, Kevin Langlois, and Drew Millington bring unparalleled expertise as the former management team of Humi, a leading HRIS solution. Their deep industry experience has driven them to build a product that is not only technically robust, but also deeply attuned to the needs of its users. Their leadership and vision have been instrumental in attracting a strong team, and forging key partnerships that will support Nmbr’s long-term growth.
With this investment, the company has plans to further develop its technology, adding new features and meet the demand of its growing partner base. At Luge Capital, we are excited to support Simon, Kevin, Drew, and the entire Nmbr team as they reshape how payroll is offered to the world.
Nmbr is currently hiring! View their open positions.
If you’re building in fintech at the early-stage, we’d love to hear from you! You can contact us here.
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