The news: 

• Nigerian HR tech startup PaidHR has launched its new cross-border payroll feature, allowing employees across the globe to receive salaries in 49 currencies. 
• Per TechCabal, this strategic innovation is part of the company’s broader growth plan, as it is currently in talks with investors to raise $1.5 million in seed funding to expand operations and scale this new product.
• The startup raised $500,000 in February 2023 from several investors, including Zrosk IML, Zedcrest Capital, Microtraction, Expert Dojo, and Resilience 17.

Founded in 2020, PaidHR has made significant strides in the HR tech sector, helping over 200 businesses (including 100 African businesses) streamline their human resource functions. 

With its payroll system, the company claims it processed ₦11.473 billion in salaries in 2023 and is on track to double that amount in 2024. 

However, with the Nigerian naira facing a devaluation of 70% since May 2023, PaidHR’s cross-border payroll solution comes at a critical time for businesses looking for ways to hedge against economic instability.

The new feature is particularly beneficial for companies with employees spread across multiple countries, offering a way for salaries to be paid in local currencies. 

According to CEO Seye Bandele, PaidHR’s innovation stems from user demand. “We are building HR management with an African context, and some of our users have requested this feature,” he explained. “This has been the roadmap for PaidHR since 2021. The product involves a marriage of HRTech and Fintech.”

The cross-border payroll feature includes a proprietary wallet that allows employees to convert their earnings into their preferred currency, providing flexibility and control over how they manage their income.

Although this move brings PaidHR closer to the fintech sector, the company insists that it remains an HR tech business at its core. Lekan Omotosho, Co-Founder and CTO of PaidHR, noted that the company doesn’t hold customer deposits, in line with regulatory frameworks. 

Instead, it partners with licensed financial institutions to handle transactions while it earns transaction fees. 

This strategic partnership allows PaidHR to focus on its HR tech offering while integrating financial services that meet the needs of modern businesses. 

According to Product Marketing and Communications Lead, Ore Badmus, “We are only adding solutions our users have requested to our product.” 

The feature positions PaidHR to compete with remittance and cross-border payment services such as Canza Finance, Cedar Money, and Waza.

As PaidHR expands its product offering, the company is also working on scaling into three new markets by the second quarter of 2025, bringing its solutions to more businesses across Africa.