South African startup Jem HR, a platform that helps companies manage HR and employee benefits through WhatsApp, has raised $3.3 million in a pre-Series A funding round.
The funding will support the company’s plans to grow its team, improve its platform, and expand into new markets.
Jem HR was founded in 2019 under the name SmartWage and rebranded in 2022.
The company began by offering employees early access to part of their earned wages.
Over time, the product evolved into a broader solution that helps companies digitise key HR processes such as leave requests, payslip access, and internal communication — all using WhatsApp. This makes it easier for businesses to connect with employees who don’t use email.
The funding round includes equity investment led by Next176, a venture capital arm of Old Mutual, along with a $1.65 million private debt facility.
The funds will be used to improve Jem HR’s platform, launch new features, and expand its reach beyond Southern Africa.
Jem HR’s CEO and co-founder, Simon Ellis, said the investment will help the company continue solving real challenges for deskless workers — such as low pay, unsafe transport options, and lack of access to financial tools.
“This funding is a pivotal step in enabling us to achieve our mission — to make it easier to manage and support frontline employees while giving them access to financial benefits,” Ellis said.
The debt facility will allow the company to roll out new services aimed at helping employees improve their financial health.
These include tools for savings, affordable insurance, credit score support, a financial wellness helpline, and access to discounted airtime and data bundles.
Tramayne Monaghan, Chief Venture Officer at Next176, praised Jem HR’s impact:
“We invest in businesses that deliver sustainable, disruptive growth. Jem HR is a great example of a company creating real value for both employers and employees. We are proud to support them as they scale across Africa and beyond.”
With the fresh capital, Jem HR aims to become a leading platform for businesses that rely on deskless workers — helping companies communicate more easily and support their teams with useful benefits, all through a tool as simple as WhatsApp.
“We are delighted to partner with ISA to support the development of solar energy in Africa,” said Alain Ebobissé, CEO of Africa50. “This partnership will help to accelerate the deployment of solar energy in Africa and improve the lives of millions of Africans,” he added.
TUNL, a South African e-commerce logistics platform, has secured $1 million in pre-seed funding to tackle exorbitant international shipping costs and empower local businesses.
Naked, a South African insurtech company, has successfully raised $38 million in a Series B2 funding round.
BasiGo, a Kenyan electric mobility company, has secured KSh396 million ($3 million) in equity funding from CFAO Group.
© 2021 Empower Africa. All rights reserved.
