In 1996, Patersons HR and Payroll Solutions joined forces to create CloudPay, a company offering payroll and payments services to large enterprises. Over the years, CloudPay steadily expanded, incorporating workflow automation to stay competitive with emerging rivals.
CloudPay’s growth continues, as confirmed by CFO Andy Thomson in an interview with TechCrunch.
Thomson disclosed that CloudPay currently manages payroll for 280 companies such as Visa, Wayfair, Wells Fargo, Expedia, and The London Stock Exchange, processing over 3 million payslips annually across more than 130 countries. He also mentioned that CloudPay has reached a contracted revenue of $125 million, doubling its revenue over the last three years.
Recently, CloudPay secured a new round of funding worth $120 million, led by Blue Owl Capital, to fuel further growth. With its total funding reaching $228 million, the valuation of CloudPay has significantly increased compared to its previous round in October 2022.
Thomson emphasized the evolving landscape of customer expectations and the complexity of compliance and legislation, driving CloudPay to adapt its payroll services to meet changing demands. Today, CloudPay provides a suite of global payroll, salary payment, and pay-on-demand solutions, along with real-time reporting tools and personalized dashboards for payroll professionals.
Amidst fierce competition in the payroll software market, CloudPay faces challengers like Workpay, Symmetrical.ai, Payroll Integrations, and Skuad, the latter having recently been acquired by Payoneer. The company, with a workforce of 1,350 spread across various locations globally, intends to use the funds from the latest funding round to onboard new integrated partners and invest in automation and AI technology.
Thomson expressed excitement about CloudPay’s technology innovation focus, hinting at upcoming AI announcements later this year. Notable contributors to CloudPay’s latest fundraising round include Rho Capital Partners, The Olayan Group, and Hollyport Capital.
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