Today marks a defining chapter in our journey. We are announcing the closing of a $150 million Series D funding round led by General Catalyst. This investment propels our valuation to $2.5 billion, positioning us as one of the top 20 most valuable scale-ups in the European Union. With this move, General Catalyst makes its first equity investment in our business, joined by other investors including Atomico and Four Rivers.
Alongside this equity investment, General Catalyst is committing up to an additional $540 million through its Customer Value Fund. This brings our total committed non-dilutive capital to over $700 million, securing our growth and supporting our strategic roadmap during the coming years.
One of Europe’s Most Valuable Scale-Ups
This milestone arrives at a pivotal moment for us. Over the past decade, we built one of Europe’s largest systems of record spanning human resources, finance, and IT for more than 16,000 businesses across over 90 countries. Today, we are fundamentally resetting that foundation, transitioning from a traditional software as a service model into an AI Workforce Operations Platform where people and agents work as one.
Jordi Romero, our CEO and co-founder, shares his perspective on this transformation: “Ten years ago we built Factorial as a SaaS company. Today, we are an AI-first company, building agents for our customers, and we are doing it for over 16,000 businesses in Europe, with the discipline that has defined our first decade. We have reset the product, the architecture, and the way our customers run their work around AI agents. General Catalyst’s partnership gives us the conviction and the capital to turn that reset into a category-defining business. This round does not close a chapter. It opens the one that matters“.
From SaaS Company to AI Workforce Operations Platform
After ten years building one of Europe’s largest systems of record for HR, finance and IT, we have reset our product around AI. At the center of that reset is Factorial One, a unified workspace built around a deliberately simple two-agent model. One agent represents the organisation, learning and applying the policies a company defines across HR, finance and IT. The other represents the individual employee, multiplying what each person can do within those policies by drafting work, surfacing what they need, and executing tasks on their behalf with full accountability to the person it serves.
Where much of the market is racing to deploy hundreds of specialized agents, our bet is that companies want fewer and smarter agents, clearer accountability, and a single source of truth for how their business runs. That shift positions us to capture a significantly larger share of the business operations software market, well beyond HR.
A New Framework for Capital Efficient Growth
General Catalyst transitioning to an equity stakeholder represents a profound vote of confidence in our long-term operational discipline and scalability. Hemant Taneja, CEO of General Catalyst, notes: “At General Catalyst, our goal is to be the first and last source of capital for the world’s most ambitious companies. Factorial is the perfect example”.
The additional $540 million commitment through the Customer Value Fund introduces a highly efficient funding structure. The capital pre-funds our sales and marketing investments, with returns tied exclusively to the actual customer value generated and capped at a fixed amount. This framework gives us a strong financial foundation to expand our market share across Europe while entirely preserving founder and shareholder equity, maintaining our strict capital discipline.
Pranav Singhvi, Partner at General Catalyst, adds: “The next decade of enterprise software will belong to the companies that rebuild themselves around AI, not the ones that bolt it on. Factorial is doing exactly that, and doing it with a level of product horizontality and an ambitious growth at scale that is rare anywhere in the world. That combination is why we are deepening our partnership across both equity and our Customer Value Fund”.
Expansion into Africa: Reinforcing Our Commitment to East Africa [Kenya]
Our growth has never been limited to Europe. As we enter this next chapter, we are deepening our commitment to East Africa, starting with Kenya.
To anchor this expansion, we recently partnered with KEPSA, the Kenya Private Sector Alliance, the apex body representing Kenya’s private sector. Through this partnership, Kenyan businesses gain direct access to Factorial’s AI-powered platform, bringing the same tools powering over 16,000 businesses worldwide to SMEs and growing companies across the region.
Kenya is a market we believe in. This round gives us the foundation to show up fully.
European Expansion: Deepening Our Commitment to Germany
A significant portion of this capital will fuel our expansion in Germany, our number one international growth market. To anchor this push, we are opening a new corporate office in Munich to bring us closer to mid-market enterprises, local partners, and premier technology talent. Over the next 12 months, hiring will scale significantly across Germany, covering sales, customer success, product, marketing, and engineering roles.
Germany already represents one of our fastest-growing customer bases, and this capital will compound that momentum with deep local product capabilities and compliance infrastructure. “Germany is our most important market in Europe, and it has been underserved for too long. We are putting our team, our capital, and our product roadmap behind it. Munich is just the start”, said Jordi Romero, CEO and co-founder.
Beyond Germany, we will continue to accelerate our rapid growth across France, Italy, and Portugal, supported by a global hiring velocity of up to 50 new team members per week as we prepare to define the future of business operations.
