Visa backs Kenyan HR and payroll startup Workpay in $5m round

Key Takeaways

Managing payroll in Africa presents unique challenges due to varying regulations, the rise of remote and hybrid work, and the reliance on outdated tools like Excel and Google Sheets by around 80% of small and medium-sized businesses. These businesses often find it difficult to afford or maintain complex payroll systems, while on-site third-party solutions offer limited features, and global platforms like Rippling and Gusto are not always well-suited to the African market. Local solutions, such as YC-backed Workpay, have emerged as valuable alternatives, offering tailored, affordable, and user-friendly payroll management systems that address the specific needs of businesses on the continent. This local focus allows companies like Workpay to thrive, providing tools that are better aligned with the regulatory and operational complexities of African businesses.