Localyze, a German SaaS platform, announced that it raised USD 12 MIllion in Series A round. This funding round was led by Blossom Capital on July 07, 2021.
This funding round also saw participation from existing investor Frontline Ventures. Some angel investors also participated like Andrew Robb (ex-Farfetch);Michael Wax, CEO of Forto; Des Traynor, co-founder and CSO at Intercom; David Clarke, former CTO at Workday; and Hanno Renner, co-founder and CEO at Personio.
About Localyze –
Localyze was initiated by a trio of women: CEO Hanna Asmussen, CTO Franzi Löw and COO Lisa Dahlke in April 2018, having its headquarters in Hamburg, Germany. The startup provides a platform for relocation management solutions. It supports international employees through the whole process of relocation with all-in-one software , covering everything from visa to social integration. It also offers an overview of the status of international employees with Visa, banking, and insurance for the recruitment.
In the first quarter of 2021, Localyze saw a revenue bump of 300%. Currently the startup has a list of customers which includes DeepL, Thoughtworks, Babbel, Trade Republic, Free Now, Forto, Tier Mobility and Peronio.
Localyze suggest that the pandemic has led the world in the era of remote working, which aids to drive demand for relocation as reassessment of employment without being physically based.
“It was very interesting, we did of course see a negative impact from COVID-19 in 2020 but the main reason why we never worried about our business model is that we knew the businesses have never been the only driver of relocations,” – Asmussen, CEO Localyze.
“We did a survey among the internationals we relocated and 98% stated that they wanted to relocate, and weren’t forced by the company. I of course believe that some people will choose not to relocate but at the same time, the increased flexibility opens many more doors for other people to relocate and also for different time frames.” added.
Localyze claims that it has helped over 2000 people, over 100 countries to be relocated internationally, as it just started.
The CEO, argues that – “Relocation is becoming a benefit at some companies, and the overall number of people moving across borders during their working life is increasing drastically,”
“While the percentage of the global skilled workforce that is mobile — meaning that they work or worked abroad — is currently still very low, around 20% I think, it is expected to grow to up to 80% in the next decade,” she suggests.
“We developed a software that automates large parts of the relevant processes around global mobility,” explains Asmussen. “The core of our technology is a pipeline system that maps out all possibilities of how the employee can enter a country and matches the pipeline with the characteristics of that employee (e.g. nationality, family status or education). This guarantees that the employee gets all the relevant information throughout his/her process and that our case managers can focus on more individual questions.
“One big advantage of this pipeline system is that we built a no-code solution to manage it. Together with our CMS to edit the content of the steps, we are able to quickly expand the usability of our software to new countries and use cases.” she adds.
“On the HR side our software helps to manage and track the process of all employees with the ease of mind that we notify them about changes or required actions. The HR manager can simply add a case, or transfer information over through our integration with their HRIS and we take it from there.” she further added.
Words from the investors –
Commenting on the latest investment in Series A, Blossom Capital’s Ophelia Brown said in a statement: “Access to the very best talent is a huge consideration for businesses of all sizes, but for high-growth enterprises, it’s absolutely crucial that nothing gets in the way of being able to tap into the skills and abilities of staff anywhere in Europe. Localyze removes all of these barriers. Instead of being bogged down by the costly and lengthy relocation processes, enterprises can concentrate on the job at hand and their employees can feel confident and secure that their relocation – often one of the biggest decisions they’ll have to make in their career – is dealt with efficiently and without a hitch.”
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