Factorial, the start-up developing an AI-powered platform for workforce and business process management, has announced that it has closed a $150 million Series D funding round, reaching a total valuation of $2.5 billion.<\/p>\n\n
The funding round, led by General Catalyst with participation from Atomico and Four Rivers, places Factorial among Europe\u2019s highest-valued scale-ups and strengthens the company\u2019s position in the growing market for AI platforms in the workplace.<\/p>\n\n
For the first time, General Catalyst is taking a direct stake in the company. At the same time, the fund has announced a further commitment of up to $540 million through its Customer Value Fund, bringing the total resources made available to Factorial to over $700 million. With over 16,000 customers in more than 90 countries, the company now aims to accelerate growth in key European markets and expand its reach beyond traditional HR software. <\/p>\n\n
“Ten years ago, we built Factorial as a SaaS company. Today, we are an AI-first company that develops agents for our clients, and we are doing so for over 16,000 businesses worldwide with the same discipline that characterised our first decade of operation,” says Jordi Romero, the company\u2019s CEO and co-founder (pictured on the right alongside Bernat Farrero, another co-founder), in a statement – “We have reimagined the product, the architecture and the way our clients organise their work around AI agents. The partnership with General Catalyst gives us the conviction and the capital to transform this change into a company destined to define a new market category. This round does not close a chapter, but opens an even more important one.” <\/p>\n\n
The deal represents one of the largest recent investments in the European B2B software sector. The new funds will be used primarily to support commercial expansion and marketing, enabling Factorial to accelerate its growth without resorting to further capital raises and without diluting the stakes of existing shareholders. <\/p>\n\n
For General Catalyst, this marks its first direct equity investment in Factorial following a partnership established through the Customer Value Fund. The decision reflects the investor\u2019s confidence in the company\u2019s ability to transform itself from a business management software provider into an AI platform for workforce and business process management. <\/p>\n\n
“The next decade of enterprise software will belong to companies that rebuild themselves around artificial intelligence, not those that simply add it to their products,” says Pranav Singhvi, a partner at General Catalyst. “Factorial is doing exactly that, and is doing so with a level of product completeness and ambition for large-scale growth that is rare to find anywhere in the world. It is this combination that has led us to strengthen our partnership through both equity investment and our Customer Value Fund.\u201d <\/p>\n\n