SAN FRANCISCO, May 20, 2020 /PRNewswire-PRWeb/ -- Human Interest, the affordable, full-service 401(k) provider for small and medium-sized businesses (SMBs), today announces that it is upsizing its Series C financing to $50 million. The company is raising additional capital in response to strong customer demand, even during the COVID-19 crisis. The extension, led by Glynn Capital, comes just over a month after the company announced a $40 million Series C, which was the largest raise in its history and for any startup 401(k) provider.
"In the past two months, we've continued to add customers and grow assets, which is part of what prompted us to raise the additional capital. We are seeing some of the strongest sales months in the company's history, and are seeing 2-3X year-over-year growth in customer acquisition even in the midst of the COVID-19 crisis. The pandemic is causing many of us to re-examine our finances, including ensuring a way to invest for our future. That's why, even in the past few months, we're seeing that employers are still rolling out new retirement plans and employees are still saving," said Jeff Schneble, CEO of Human Interest. "It's encouraging to see that, even with current market volatility and widespread unemployment, nearly 100 percent of our customers have stayed with their investment strategy and have not withdrawn assets. This is a critical time for the financial industry, and we are committed to helping SMB employees stay the course to reach their future financial goals, including a secure retirement."
The 401(k) provider, which was recently named one of America's Best Startup Employers by Forbes and recognized among the Best Places to Work in the Bay Area by the San Francisco Business Times, has also pledged to have no layoffs in 2020. Rather, Human Interest is extending its role in the local economy by opening new positions and actively hiring, including candidates from companies that have been impacted by the downturn.
"We think Human Interest has the potential to help a significant number of people not just now, but as they build their savings for years to come. At Glynn Capital, we seek to be long-term investors in a limited number of excellent companies with world-class management teams, sustainable business models, and long-term growth potential," said Charlie Friedland, Principal at Glynn Capital. "We believe Human Interest is taking an innovative approach to addressing the lack of appropriate access to retirement savings, a major and growing issue. We're excited to partner with Jeff and the entire team on this journey as the company enters its next stage of growth."
The additional capital will help Human Interest double its engineering team by July 2020 in order to deepen the investment in technology that can make retirement benefits even more accessible to SMBs. Human Interest will continue to focus on delivering high-quality retirement benefits at a much lower cost than traditional 401(k) and 403(b) providers.
"Our mission to ensure that people in all lines of work have access to high-quality retirement benefits feels even more important in this climate as we work to help employees of SMBs – roughly half of the American workforce – save and know their employer is invested in their financial futures," said Schneble.
ABOUT HUMAN INTEREST
Human Interest makes 401(k) benefits—the retirement savings plan and the investment know-how—accessible to small to midsize businesses and their employees. By offering automation, built-in investment advising, and integration with 15+ payroll providers, taking care of your employees' financial futures has never been easier. Headquartered in San Francisco, CA, Human Interest has helped more than 60,000 employees save for retirement at over 2,000 companies. For more information please visit humaninterest.com or follow us on LinkedIn.
Advisory services are offered by Human Interest Advisors, a subsidiary of Human Interest Inc. Human Interest Advisors is a registered investment advisor with the Securities and Exchange Commission("SEC"). SEC registration does not imply a certain level of skill or training. Investing involves risk. Past performance is not a guarantee or indicative of future returns. The value of your investment will fluctuate, and you may gain or lose money. Additional Information can be found in the company's Form ADV Part 2A.
ABOUT GLYNN CAPITAL
Glynn Capital is focused on investments in leading private and public technology growth companies. We seek to be long-term investors in a limited number of excellent companies with world-class management teams, sustainable business models, and long-term growth potential.
SOURCE Human Interest