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min read

Announcing our Series A

Today I am thrilled to announce that Benepass has raised $12 million in a Series A round led by Threshold Ventures.

Today I am thrilled to announce that Benepass has raised $12 million in a Series A round led by Threshold Ventures. Other participating investors in this round include Modern Venture Partners, Operator Partners, and Alumni Ventures Group, as well as existing investors Gradient Ventures and Global Founders Capital.

Why we're building Benepass

In the U.S. alone, companies spend $4 trillion providing benefits to their employees, comprising more than 30% of total compensation. Salary compensation is essential yet transactional, whereas non-salary compensation is how a company communicates its values.

In today's tight talent market, employees look to their companies to feel supported in their personal and professional well-being. To make the experience meaningful, employee benefits must be flexible and easy-to-use. The pandemic has sped up the movement to hybrid work by decades, which makes the need for personalization even greater.

People teams face challenges in keeping up. The one-size-fits-most approach might have worked in an office-centric environment when everyone lived in the same radius. Now, companies are hiring teams remotely, but they lack the tools to be able to effectively serve their teams equitably across the globe.

Our mission

Introducing Benepass. Our mission is to reimagine how companies take care of their people.

We equip People teams with powerful tools to break the traditional mold of benefits. With Benepass, there's more visibility than ever, unlocking key insights about what employees actually care about based on how they're using their dollars and allowing People teams to take a data-driven approach. Custom reporting and detailed analytics allows companies to tweak policies as they learn more about their teams, leading to dramatically more effective programs. In addition, we're partners in employee education with a Product-led approach that focuses on simplicity and delight. Companies will engage on average 80% of their team after six months using Benepass.

Since our founding two years ago, we've grown to serve employees in over 30 countries. We're onboarding thousands of employees each month, as companies embrace an employee-led benefits experience. This funding round is a testament to how fast we've scaled to serve enterprise customers with global teams and complex needs.

Each employee receives a Benepass Visa card with their benefits and a web portal and mobile app to track spending, check balances, and request reimbursements. Common stipends include wellness, professional development, meals, hybrid work, and recognition. The pre-tax suite includes Flexible Spending Accounts, Health Savings Accounts, and Commuter.

Companies and employees who inspire us

People-forward companies such as Bright Health, Wix, Jamf, and Mural deploy a variety of benefits powered by Benepass. For example, Bright Health funds a monthly Lifestyle Spending Account and contributes to the Health Savings Account; Wix gives a biweekly meal allowance; Jamf offers employees a stipend to furnish their home office; and Mural deploys a monthly wellness stipend and annual budget for professional development.

Employees use Benepass in ways most meaningful to them, while People teams can scale that experience with Benepass dramatically easier than ever before. This includes:

  • Picking up lunch from rural towns to metropolitan areas
  • Obedience training for the dog so WFH is a bit quieter
  • Concert experiences in alignment with the company's industry
  • Spotify subscriptions so remote teams can jam to the same tunes
  • Gender affirming care not covered by insurance
  • Vacation perks for recognition and rewards

Onward!

This is only the beginning. With our new funding round, we're equipping People teams with powerful admin capabilities so they can design the exact benefits stack they want and adding key integrations behind the scenes. We're improving the employee experience to make their benefits delightful.

We're also growing our team. We're remote-first and hiring across all North + South American time zones. I'm proud to say our team is a kind, hard-working, sharp group of people. Join us!

I personally want to thank our early customers who believed in the mission from the very beginning, and our team spanning New York, San Francisco, Philadelphia, Austin, Hawaii, Brazil, Chile, and Canada.

I look forward to partnering with Mo and Josh at Threshold as we build Benepass into a world-class company. Thank you Darian, Wen-Wen, and Kyle at Gradient for being our first champions and for your continued support.

I started this company because I wanted to build a team doing meaningful work. I'm grateful every day to be working with each and every one of you and am looking forward to the journey ahead.

Jaclyn Chen

CEO & Co-Founder of Benepass