Zenefits, the US-based operator of a cloud platform for human relations automation, raised $500m yesterday in a series C round likely to have featured Comcast Ventures, cable service Comcast’s investment arm.
Fidelity Management and Research Company and TPG co-led the round, which also featured venture capital firms Insight Venture Partners, Founders Fund, Khosla Ventures, Sound Ventures, Andreessen Horowitz and Institutional Venture Partners (IVP), and actor Jared Leto.
Comcast Ventures was not listed among the company’s investors in the official press release, but Dave Zilberman, the unit’s managing director, revealed on his LinkedIn page that he is functioning as an investor in Zenefits as of this month.
Founded in 2013, Zenefits has developed a cloud platform that integrates elements of HR work including payroll, benefits, insurance and compliance into a single dashboard that can handle them automatically. It has signed up more than 10,000 small and medium-sized businesses so far.
Zenefits has now raised more than $580m in funding in total and represents the largest single investment ever made by Andreessen Horowitz. It raised $66.5m from Andreessen Horowitz and IVP at a $500m valuation as recently as June 2014.
The series C round, raised at a $4.5bn valuation, will be used to scale the company’s sales and marketing team and to support the continued roll-out of new features for its platform.
Recently added features include stock options administration and instant background checks on job applicants.
Parker Conrad, co-founder and chief executive of Zenefits, said: “There are millions of small businesses in the country that have been wasting countless hours every year juggling multiple HR systems and outdated technology. We are not just eliminating the paperwork; we are eliminating the actual work – making it easier for small businesses to manage and grow.”