Seattle startup Syndio is all about making sure people get paid fairly. It has built an HR software platform that allows companies to analyze and monitor pay across demographics in order to prevent pay discrimination. Now, the company is announcing a payday of its own.
On Monday, Syndio announced that it raised $50 million in its Series C funding round. Emerson Collective and Bessemer Venture Partners were the lead investors, with existing investor Voyager Capital participating in the round as well. This follows the company’s $17.1 million Series B from January and $7.5 million Series A from May of 2020. Altogether, the company has raised $83 million in total funding to date.
This comes at a time when Syndio is seeing increased user adoption and company growth. Syndio has been passionate about pay equality since it launched in 2016, but not every company is intentional in making sure they pay their employees fairly. However, one side effect of the racial justice movements of 2020 is that it caused employers to look inwards to see how they dealt with race on an organizational level. As a result, many employers turned to Syndio.
Syndio says that only 50 percent of its customers analyzed race in relation to pay discrepancies before May of 2020. Now, 98 percent of the company’s customers analyze both race and gender. By analyzing discrepancies, Syndio says that it helps employers retain employees, avoid legal issues and identify when it’s not paying someone fairly.
As more employers prioritize this, Syndio has seen its customers grow. The company says that it tripled annual recurring revenue two years in a row, and is on track to do it again in 2022. Over 200 companies use Syndio’s platform, including NerdWallet, Nordstrom, Salesforce and General Mills. Together, these 200-plus companies account for over 2.6 million U.S. employees getting their pay analyzed through the company’s platform.
Syndio plans to use this new Series C funding to invest in developing new products and hiring. The company currently has over a dozen open job listings across roles in engineering, marketing, sales and more.
“Every day, the pressure from employees, investors and governments grows to close persistent workplace gaps to ensure that companies achieve enduring success in a 21st century economy,” Syndio CEO Maria Colacurcio said in a statement. “The cost of ignoring these internal and external forces are clear: loss in brand power, increase in capital costs through employee attrition and inefficiency and a collapse in morale. For the first time in history, technology exists to meet this moment and make workplace equity a foundational leadership principle. These equity analytics are being defined and pioneered by Syndio, and we’re thrilled to have Bessemer and Emerson’s continued partnership in fueling our growth.”
