Factorial Startup Diligence Report
Proceed only to confirmatory diligence. A positive thesis depends on verifying $100M+ ARR quality, retention, module expansion, CAC/payback, defensibility against HR/payroll competitors, privacy/security maturity and financing economics beyond public valuation headlines.
Factorial Startup Diligence Report
Factorial is eligible for a public-source diligence report: CB Insights and TechCrunch support a $1B private-unicorn valuation on 2022-10-11, and current company pages support active operations as the Barcelona HR/SMB business software company. The investment case cannot be underwritten from public evidence alone because financial statements, cap table, customer cohorts, contracts, security audits and legal clearance are private. Evidence: EC-001, EC-002, EC-003, EC-004, EC-020.
Factorial processes employee/collaborator data; public security materials lack independent audit artifacts and incident history.
Diligence request: Security review of SOC/ISO, pen tests, subprocessors, DPA, incident log, encryption/key management, backups and AI governance.
Audited financials, ARR bridge, cash, debt, margin, burn, budget-to-actuals, backlog and AR aging are private.
Diligence request: Require audited/management financials, KPI pack, ARR bridge, cash/debt schedule, forecast model and quality-of-revenue review.
Factorial competes with HRIS/payroll suites and adjacent workforce platforms with strong distribution and pricing power.
Diligence request: Run win/loss calls, pricing-discount analysis, competitive renewal cohorts and product-depth benchmarking.
Public GTM channels are visible but acquisition economics, quota attainment and payback are not public.
Diligence request: Request spend by channel, funnel, CAC, payback, LTV/CAC, quota attainment, sales cycle and partner-sourced ARR.
Headline unicorn valuation does not reveal current cap table, debt obligations, cash runway, option pool or preferences.
Diligence request: Request fully diluted cap table, debt/loan documents, preferences, option plan, investor rights and 24-month runway forecast.
SMB HR/payroll buyers can churn or downsize in weak cycles; public sources do not disclose cohorts, retention or customer health.
Diligence request: Request logo/GRR/NRR cohorts by customer size, region and product module plus churn reasons.
Multi-country HR/payroll, privacy, employment and tax requirements can raise support burden and liability.
Diligence request: Obtain country revenue mix, local legal opinions, payroll partner contracts, entity chart and compliance registers.
Top-customer ARR, contracts, renewal dates and customer concentration are not public.
Diligence request: Request top-25 customer schedule, contracts, renewal calendar, reference calls and concentration analysis.
Factorial passes the public unicorn eligibility screen via CB Insights and TechCrunch; however, audited financials, ARR bridge, cash/debt, cap table and unit economics remain private. Evidence: EC-001, EC-004, EC-006, EC-020, EC-026.
not publicly verifiable confidence: medium
Company-published $100M ARR is a useful public signal, but audited statements, backlog, AR aging, gross margin and budget-to-actuals are not public. Evidence: EC-006, EC-020.
| metric | public signal | diligence caveat | verification status |
|---|---|---|---|
| ARR | Company blog claims $100M ARR reached in 2025. | ARR bridge, churn, discounts, revenue-recognition policy and auditor support not public. | partially_verified |
| Customers | 14k+ customers across 10 countries in 2025 blog; 15k clients/companies in 2026 pages. | Active, paying, contracted and logo-count definitions not public. | inconclusive |
| Gross margin / COGS | No reliable public disclosure found. | Need P&L by product, hosting/support costs and implementation costs. | not_publicly_verifiable |
| CAC / payback | Public GTM channels and pricing CTAs exist. | Need sales/marketing spend, funnel, quota attainment and payback. | not_publicly_verifiable |
not publicly verifiable confidence: low
Growth and international-expansion signals are public, but projections, assumptions, scenario model, capex and financing needs require private records. Evidence: EC-006, EC-020, EC-023.
not publicly verifiable confidence: medium
Public sources identify investors and funding headlines but not shares, preferences, debt terms, warrants, option pool or runway. Evidence: EC-001, EC-004, EC-026.
| stakeholder or item | public position | diligence caveat | verification status |
|---|---|---|---|
| K Fund, Creandum, CRV | CB Insights unicorn row investors; TechCrunch prior/Series C participants. | Ownership %, preference stack, pro rata rights and board rights not public. | verified |
| Atomico / GIC / Tiger Global | TechCrunch reported Atomico-led Series C with GIC and Tiger Global participation. | Securities terms and ownership not public. | verified |
| General Catalyst / Fin Capital | CB profile and company blog point to 2025 debt/commitment signals. | Loan covenants, warrants, maturity and runway impact not public. | partially_verified |
| Option pool, warrants, notes, debt, off-balance-sheet liabilities | No public detail found. | Request fully diluted cap table and debt/off-balance-sheet schedules. | not_publicly_verifiable |
partially verified confidence: medium
Funding history is visible at a headline level; tax positions, accounting policies, debt terms and current financing basis are not public. Evidence: EC-004, EC-005, EC-026.
| date | round | amount | lead or participants | valuation or terms | verification status |
|---|---|---|---|---|---|
| 2020 early | Series A | $16M publicly referenced | Not detailed in reviewed evidence | Not public | partially_verified |
| 2021-09-05 | Series B | $80M | Tiger Global lead; CRV, Creandum, Point Nine, K Fund participating | TechCrunch source-estimated roughly $500M post-money | partially_verified |
| 2022-10-11 | Series C | $120M | Atomico lead; GIC, Tiger Global, CRV, K-Fund, Creandum | $1B valuation; all-equity per TechCrunch | verified |
| 2025-03-19 / early 2025 | Loan / General Catalyst commitment | CB: $120M last raised; company blog: General Catalyst commitment increased to $200M | General Catalyst, Fin Capital in CB; General Catalyst in company blog | Debt/commitment terms not public | partially_verified |
Amounts and terms must be reconciled against signed financing documents.
Timeline does not substitute for cap-table or transaction-document review.
Public pages verify an active, broad Factorial platform across HR/payroll, time, talent, finance, IT, API/integrations and AI; module economics and product quality remain private. Evidence: EC-007, EC-008, EC-017, EC-028.
verified confidence: medium
Factorial publicly markets an all-in-one business management suite for HR/payroll, time/planning, talent, finance, IT and AI, with pricing starting at $8/user/month and tailored packaging. Evidence: EC-007, EC-008, EC-017, EC-028.
| product area | public features | primary audience | diligence focus |
|---|---|---|---|
| HR & Payroll / Core HR | Employee portal, documents, e-signature, payslip distribution, payroll preparation/review. | SMB HR/admin teams and employees. | Payroll localization, implementation burden, support costs. |
| Time & Planning | Time off, time tracking, shift management, project management. | Managers, HR and operations. | Compliance across working-time laws and mobile/geolocation privacy. |
| Talent Management | Performance, recruiting/ATS, onboarding/offboarding, training, goals/OKRs. | HR and people managers. | Module adoption, employee data governance, AI use cases. |
| Finance / IT / AI | Finance management, IT management, AI assistant and reports/cost prompts. | CFOs, IT admins, leadership. | Suite expansion complexity, security, attach rate and gross margin. |
| package or metric | public signal | investment question | verification status |
|---|---|---|---|
| Starting price | Pricing page title says Factorial starts at $8 per month per user. | What is actual average price/user/month by region and module? | partially_verified |
| Tailored quote | Page says Factorial will create a tailored plan based on chosen tools. | What discounting, minimum seats, contract length and implementation fees apply? | partially_verified |
| Core bundle | All plans include Factorial Core with directory, onboarding/offboarding, payslip distribution, documents, e-signature, notifications and PDFs. | What % of customers attach paid modules beyond Core? | partially_verified |
| Enterprise/customer-specific pricing | No negotiated rates public. | Request ACV, discounts, churn by package and implementation services margin. | not_publicly_verifiable |
| initiative | public evidence | status | risk or gap |
|---|---|---|---|
| Expense cards / finance | TechCrunch 2022 said expense cards were in quiet beta; current site includes Finance. | Partially verified public signal. | Need launch/adoption, regulated financial partners and unit economics. |
| AI platform / Factorial One | Homepage says AI handles paperwork; AI fund page offers credits/cost reductions. | Current public marketing signal. | Need AI governance, hallucination controls, customer data isolation and monetization. |
| API/integration ecosystem | API docs invite developers to build integrations; integrations page mentions Zapier. | Current developer/platform signal. | Need API usage, uptime, partner revenue and data-sharing controls. |
| Acquired assets | CB profile lists Fuell and Codegram acquisitions. | Partially verified from database. | Need integration plans, earn-outs, IP assignments and employee retention. |
Public customer counts/logos are directionally positive, but top-customer ARR, concentration, retention, churn and severed relationships are not public. Evidence: EC-009, EC-010, EC-027.
partially verified confidence: medium
Public sources give aggregate customer/client/company counts and logos, but the top 15 customers by application are not disclosed. Evidence: EC-009, EC-027.
| signal | public evidence | diligence request | verification status |
|---|---|---|---|
| 2022 customer count | TechCrunch reported roughly 7,000 customers across Europe and hundreds of thousands of users. | Active paying customers, ARR by cohort, and country mix at 2022 date. | verified |
| 2025 customer count | Company blog reported more than 14,000 customers across 10 countries. | Definition of customer and country scope; reconcile to billing system. | partially_verified |
| 2026 client/company count | About/AI pages state 15k clients/companies and show logos including Freshly/Beso Beach/Nude Project/Rock in Rio. | Logo permission, contract status, ARR contribution and reference calls. | partially_verified |
| Top-customer concentration | No top-customer ARR or >5% revenue disclosure found. | Top 25 ARR, renewal dates, churn/upsell history and customer health. | not_publicly_verifiable |
partially verified confidence: medium
Public partner-program, API and financing relationship signals exist, but partner revenue contribution and obligations are not public. Evidence: EC-011, EC-021, EC-026.
| partner or relationship | nature | public evidence | diligence gap |
|---|---|---|---|
| Reseller partners | Channel distribution | Partnership page describes reseller program. | Partner-sourced ARR, margin, partner concentration and contractual commitments not public. |
| Referral partners | Lead generation | Partnership page lists Referral as a partner path. | Referral economics and lead quality not public. |
| Product integration partners | Ecosystem/product integrations | Partnership page lists Product Integration; integrations page mentions Zapier. | Integration SLA, API usage, data-sharing terms and maintenance costs not public. |
| General Catalyst | Financing/strategic commitment signal | Company blog references General Catalyst commitment increased to $200M. | Debt/equity terms and strategic obligations not public. |
not publicly verifiable confidence: high
Revenue concentration and any customers representing 5%+ of revenue are not publicly verifiable. Evidence: EC-010.
not publicly verifiable confidence: medium
No reliable public list of severed customer, partner or supplier relationships was found. Evidence: EC-010, EC-018.
partially verified confidence: medium
Public supplier evidence identifies AWS Germany, Zapier and privacy/DPO provider signals; full supplier spend/concentration is private. Evidence: EC-011, EC-012, EC-013.
| supplier or dependency | role | public evidence | concentration risk |
|---|---|---|---|
| Amazon Web Services Germany | Cloud hosting for customer data | Security page states all customer data is stored on AWS servers in Germany. | Cloud concentration, regional availability and subprocessor diligence. |
| Zapier | Integration automation | Integrations page says users can connect to hundreds of tools with Zapier. | Third-party integration reliability and data-transfer controls. |
| Privacy/DPO provider First Privacy B.V. | DPO contact / privacy governance | Privacy policy lists FIRST PRIVACY B.V. DPO contact details. | External privacy advisory dependency; review engagement scope. |
| Payroll/localization partners | Potential country-specific payroll/compliance support | No complete supplier list public. | Need supplier contracts, SLAs, subprocessors and termination rights. |
Factorial competes in a crowded HR/payroll/workforce/business-management market; public evidence supports category participation but not win rates or pricing power. Evidence: EC-016.
verified confidence: medium
Public sources position Factorial as a Workday-for-SMBs/SMB HR platform while CB lists HR/payroll/workforce competitors including Sesame, Personio comparables, BambooHR, Deel, Papaya Global and Rippling. Evidence: EC-016.
| competitor | segment | overlap with factorial | public source signal | diligence question |
|---|---|---|---|---|
| Personio / Sesame / Shyfter / PeopleForce | European SMB HRIS/workforce software | Core HR, time, talent, payroll-adjacent workflows. | CB Insights lists Personio comparable and Sesame/Shyfter/PeopleForce competitors. | Regional win/loss, pricing and feature depth. |
| BambooHR / Paycor | SMB/mid-market HR and payroll suites | HR, payroll, benefits/time/performance. | CB profile compare-to competitors include BambooHR and Paycor. | US/enterprise expansion threat and buyer switching costs. |
| Rippling / Deel / Papaya Global | Workforce management, global payroll, HR/IT/finance convergence | HR plus IT/finance/payroll and international workforce workflows. | CB competitor descriptions mention Rippling, Deel and Papaya Global. | Can Factorial defend against better-funded platform expansion? |
| Workday and incumbent ERPs | Enterprise HRIS / HCM suites | Upper-SMB/mid-market buyers may compare with larger suites. | TechCrunch called Factorial a Workday-for-SMBs. | Up-market feature gaps and migration friction. |
| axis | factorial position | competitor pressure | evidence |
|---|---|---|---|
| SMB focus/localization | Strong public positioning for SMBs and Spanish/Portuguese/European markets. | Personio/Sesame/Paycor/BambooHR also specialize in SMB/mid-market HR. | TechCrunch and Factorial public pages. |
| Suite breadth | HR, payroll, time, talent, finance, IT and AI suite messaging. | Rippling/Deel/Papaya have strong HR/payroll/IT/global workforce narratives. | Factorial homepage/pricing and CB competitor descriptions. |
| Price/transparency | Starts at $8/user/month with tailored quotes. | Competitors can discount or bundle; realized pricing not public. | Pricing page and public competitive market context. |
| Security/compliance trust | Publishes security/privacy pages and AWS Germany claim. | Enterprise buyers may demand SOC/ISO evidence and mature compliance programs. | Security/privacy pages. |
Public GTM evidence shows direct demo/free-start CTAs, tailored quotes, partner programs, integrations/API and AI-fund campaigns; CAC/payback and sales productivity are private. Evidence: EC-011, EC-021, EC-025.
verified confidence: medium
Public materials show positioning around AI business management, direct CTAs, customer proof and partner channels. Evidence: EC-021.
| channel | public evidence | likely role | missing metrics |
|---|---|---|---|
| Direct website / demo / free start | Homepage/pricing pages show Start for free, request demo and tailored quote CTAs. | Direct demand generation and sales-led conversion. | Traffic, lead conversion, ACV, sales cycle, payback. |
| Partner program | Partnership page describes reseller, referral and product integration paths. | SMB channel leverage and ecosystem distribution. | Partner-sourced ARR, economics and churn. |
| Integrations/API | API docs and integrations page support developer/integration ecosystem. | Retention, upsell and partner-led implementation. | API usage, integration-driven retention and support costs. |
| AI Acceleration Fund | Company campaign offers limited-time cost reductions/platform credits. | Promotional acquisition/expansion campaign. | Credit cost, conversion, retention and CAC payback. |
| signal | evidence | diligence use | verification status |
|---|---|---|---|
| AI positioning | Homepage says AI handles paperwork; AI Acceleration Fund page markets AI credits. | Assess repositioning from HRIS to AI business-management suite. | verified |
| Customer proof | Customer stories page and AI campaign logos; company-public metrics. | Select reference-call targets and check logo permissions. | partially_verified |
| ARR milestone PR | Company blog announced $100M ARR and leadership in Europe. | Reconcile to financials and market-position claims. | partially_verified |
| Careers/employer brand | Careers site markets Barcelona startup and benefits. | Assess hiring funnel and retention risk. | partially_verified |
not publicly verifiable confidence: medium
Public customer proof does not disclose major-customer relationship status, growth prospects or pipeline. Evidence: EC-009, EC-010.
verified confidence: medium
Direct web CTAs, partner/reseller/referral/product-integration paths, API/integrations and AI Acceleration Fund campaigns are publicly visible. Evidence: EC-011, EC-021.
not publicly verifiable confidence: high
Sales compensation, average quota, sales cycle and new-hire ramp are not publicly available. Evidence: EC-025.
| metric | public signal | required private record | priority |
|---|---|---|---|
| CAC and payback | Not disclosed. | Monthly sales/marketing spend, new ARR by cohort and gross margin. | high |
| Quota attainment and sales cycle | No sales productivity model public. | CRM opportunity export, quota plan and ramping rep cohorts. | high |
| Pipeline by channel/region | Direct, partner and AI campaign channels visible. | Pipeline aging, win rates, partner attribution, regional ARR. | high |
| Discounts and packaging economics | Starts at $8/user/month; tailored quotes. | Price book, discount waterfall, module attach and churn by plan. | high |
not publicly verifiable confidence: low
Budget sufficiency is not public and depends on cash/runway, CAC/payback and international expansion efficiency. Evidence: EC-020, EC-025, EC-026.
Public R&D signals include product/software teams, API/integration docs, AI positioning and finance/IT expansion; R&D budget, roadmap, architecture and technical debt are private. Evidence: EC-011, EC-015, EC-017, EC-028.
partially verified confidence: medium
Careers and product/API pages indicate product, software development, API, AI and security/privacy workstreams, but org chart and resourcing are not public. Evidence: EC-011, EC-015, EC-017.
| role or team | public signal | diligence request | verification status |
|---|---|---|---|
| Product and software development | Careers page references product quality and software development teams. | Engineering org chart, product leaders, attrition, roadmap ownership. | partially_verified |
| API/platform team | Public API docs and integration partner program exist. | API uptime, developer headcount, roadmap and support tickets. | verified |
| AI/product analytics | Homepage and AI fund market AI automation and data access. | AI architecture, model/vendor dependencies, prompt/data controls and adoption. | partially_verified |
| Security/privacy engineering | Security and privacy pages identify controls, DPA/DPO and AWS Germany. | Security headcount, SDLC, vulnerability management and audit reports. | partially_verified |
partially verified confidence: medium
Public pipeline signals include AI, finance/expense cards, integrations/API and localization, but costs, timelines, adoption and risks are private. Evidence: EC-017, EC-028.
| pipeline item | public status | expected value | risk or gap |
|---|---|---|---|
| AI business management / Factorial One | Current homepage and AI fund messaging. | Automation, data access, cross-module differentiation. | AI accuracy, privacy, adoption, monetization. |
| Finance / expense capabilities | 2022 expense cards beta and current Finance module in site. | ARPU expansion beyond HR. | Payments/compliance partners, support costs, launch traction. |
| Integrations/API ecosystem | API docs and integration partner program live. | Retention and ecosystem leverage. | Partner quality, uptime, security reviews. |
| Localized payroll/HR expansion | Terms list subsidiaries; TechCrunch references Europe and Latino markets. | International growth. | Local compliance, tax, payroll-provider dependence. |
Public evidence identifies founders and substantial team scale, but current org chart, executive roster, compensation, stock plans, attrition and employee-relations data are private. Evidence: EC-005, EC-006, EC-015.
not publicly verifiable confidence: low
No complete public organization chart was found; careers/about pages show operating scale but not reporting lines. Evidence: EC-015.
| name | public role | source signal | diligence gap |
|---|---|---|---|
| Jordi Romero | Founder; CEO in 2021 TechCrunch article; quoted founder in 2025 company blog. | TechCrunch and company blog. | Current title, equity, employment agreement and key-person risk. |
| Pau Ramon | Co-founder per TechCrunch 2021. | TechCrunch founder list. | Current role/title and equity not public. |
| Bernat Farrero | Co-founder per TechCrunch; founder quoted in 2025 blog. | TechCrunch and company blog. | Current role/title and employment/equity terms not public. |
| Board and executive team | No complete current roster in reviewed public sources. | CB people fields incomplete/secondary. | Request board minutes, org chart, executive bios and references. |
partially verified confidence: medium
Company pages cite +1,500 people and +500 added in 2025, but historical/projection by function/location is not public. Evidence: EC-006, EC-015.
| period or signal | public evidence | interpretation | verification status |
|---|---|---|---|
| 2025 hiring | Company blog says more than 500 people added to the team so far in 2025. | Rapid growth signal; not total headcount. | partially_verified |
| 2026 current team | About page states +1500 people working in Factorial. | Large operating scale; function/location breakdown unknown. | partially_verified |
| Careers presence | Careers page lists offices/jobs/team benefits and product/software/GTM teams. | Active employer brand and hiring funnel. | partially_verified |
| Projected headcount | No forecast public. | Need hiring plan, productivity and retention analysis. | not_publicly_verifiable |
partially verified confidence: medium
TechCrunch identifies founders Jordi Romero, Pau Ramon and Bernat Farrero; current executive biographies and board roles require confirmation. Evidence: EC-005, EC-006.
not publicly verifiable confidence: low
Careers page mentions benefits, but executive/employee compensation arrangements are not public. Evidence: EC-015.
| area | public signal | private records needed | priority |
|---|---|---|---|
| Compensation and benefits | Careers page references competitive salary, health insurance and benefits. | Compensation bands, bonus plans, benefits costs and employment agreements. | medium |
| Incentive stock/options | No option-plan detail public. | Equity incentive plan, grants, vesting, refresh policy and option pool. | high |
| Turnover and employee relations | No verified layoff/turnover/public employee-relations issue found in reviewed sources. | Attrition by function/location, exit interviews, disputes and engagement surveys. | high |
| Key-person retention | Founders remain publicly associated, but current executive roster incomplete. | Founder/employment agreements, non-compete/non-solicit enforceability, succession plan. | high |
not publicly verifiable confidence: high
Incentive stock plan details and option grants are not publicly available. Evidence: EC-026.
not publicly verifiable confidence: medium
No verified employee-relations issue was found in reviewed public sources; absence is not public clearance. Evidence: EC-015, EC-018.
| matter | public evidence | status | diligence request |
|---|---|---|---|
| Corporate entity / registry | Legal notice and terms identify Everyday Software, S.L., Barcelona address, CIF and Commercial Registry references. | partially_verified from company-owned sources | Registry extracts, bylaws, minute books, entity chart. |
| Pending lawsuits against Factorial | No verified docket located in reviewed public sources. | not_publicly_verifiable / inconclusive | Counsel docket searches and litigation schedule. |
| Lawsuits initiated by Factorial | No verified docket located in reviewed public sources. | not_publicly_verifiable / inconclusive | Counsel docket searches and litigation schedule. |
| Acquisitions | CB lists acquisitions of Fuell and Codegram. | partially_verified database signal | Purchase agreements, IP assignments, earn-outs and indemnities. |
not publicly verifiable confidence: high
Turnover rates for the last two years and retention-related benefits are not public. Evidence: EC-015.
Company-owned legal/privacy/security pages verify entity, privacy/security posture and terms, but lawsuits, regulatory clearances, IP registrations, insurance and material contracts remain unresolved. Evidence: EC-002, EC-012, EC-013, EC-014, EC-018, EC-019.
not publicly verifiable confidence: medium
No verified pending lawsuit against Factorial was located in reviewed public sources, but public web research is not legal clearance. Evidence: EC-018.
not publicly verifiable confidence: medium
No verified lawsuits initiated by Factorial were located in reviewed public sources; this remains inconclusive. Evidence: EC-018.
not publicly verifiable confidence: low
As a software company, public environmental/safety exposure appears limited to offices and employment compliance; no safety records were public. Evidence: EC-014, EC-018.
| area | public evidence | risk | follow up |
|---|---|---|---|
| Privacy/GDPR | Privacy policy says Factorial processes platform data as processor and identifies DPO contact. | Cross-border HR data processing and subprocessor obligations. | DPA, subprocessors, DPIAs, data-transfer mechanisms, regulator correspondence. |
| Security/SLA | Security page lists account/physical security, training, background checks, SLA and AWS Germany. | Audit evidence and incident history not public. | SOC/ISO, pen-test, SLA performance, incident log, BC/DR tests. |
| Material contracts | Terms of use public; negotiated enterprise contracts not public. | Termination, liability caps, data-processing obligations and MFN/discount risk. | Top customer/supplier contracts and standard order forms. |
| Insurance / regulatory agency problems | No insurance schedule or enforcement record found in reviewed public materials. | Uninsured cyber/employment/regulatory exposure. | Insurance certificates, claims history and counsel regulatory search. |
inconclusive confidence: low
Domain ownership is stated on the legal page, but trademark/patent/copyright/software-license evidence is not registry-verified; CB patent references may be unrelated. Evidence: EC-019.
| asset or category | public signal | verification status | diligence request |
|---|---|---|---|
| factorialhr.com domain | Legal notice states domain names used to access website are Factorial ownership. | partially_verified | Domain registrar records and security controls. |
| Factorial marks/logos | Brand used across company pages; no registry extract reviewed. | not_publicly_verifiable | EUIPO/OEPM/WIPO/USPTO trademark schedules and assignments. |
| Patents | CB patent references appear inconsistent with HR software and may be entity collision. | inconclusive | Owner-matched patent search and exclusion of unrelated Factorial entities. |
| Software/code/IP assignments | No source-code ownership, OSS or employee-assignment data public. | not_publicly_verifiable | IP assignment agreements, OSS SBOM, licenses and contractor records. |
not publicly verifiable confidence: high
Insurance coverage, limits, exclusions and claims history are not publicly available. Evidence: EC-018.
not publicly verifiable confidence: medium
Public terms identify platform contracting entity and subsidiaries; negotiated customer, supplier, partner, debt and acquisition contracts are private. Evidence: EC-014, EC-018, EC-022.
partially verified confidence: medium
Security/privacy pages support GDPR-aware operations, but regulatory agency problems, investigations and audit reports are not publicly cleared. Evidence: EC-012, EC-013, EC-018, EC-024.
| ID | Claim | Status | Sources |
|---|---|---|---|
| EC-001 | CB Insights lists Factorial as a Spain/Barcelona Enterprise Tech unicorn valued at $1B with date joined 2022-10-11 and investors K Fund, Creandum and CRV. | verified high | SRC-001 |
| EC-002 | Factorial is the Barcelona HR/SMB business software company operated by Everyday Software, S.L., not an unrelated company. | verified high | SRC-002SRC-012SRC-013SRC-014 |
| EC-003 | Factorial appears active and private as of the research date, but the absence of IPO/acquisition/shutdown evidence is an inconclusive public-source screen. | partially verified medium | SRC-002SRC-005SRC-006SRC-015SRC-016 |
| EC-004 | TechCrunch reported Factorial raised a $120M all-equity Series C led by Atomico with GIC and existing investors, valuing the company at $1B. | verified high | SRC-003 |
| EC-005 | TechCrunch reported Factorial raised an $80M Series B in 2021 at an estimated roughly $500M post-money valuation, led by Tiger Global with CRV, Creandum, Point Nine and K Fund participating. | partially verified medium | SRC-004 |
| EC-006 | Factorial publicly claimed $100M ARR in September 2025, more than 14,000 customers across 10 countries, and acceleration after General Catalyst increased its commitment to $200M. | partially verified medium | SRC-017 |
| EC-007 | Factorial markets an active all-in-one business-management platform spanning HR and payroll, time and planning, talent management, finance and IT. | verified medium | SRC-005 |
| EC-008 | Factorial publicly states pricing starts at $8 per month per user and uses tailored quotes/modules including Core, Time, Talent, Finance and IT. | partially verified medium | SRC-006 |
| EC-009 | Public customer-count and logo signals exist but definitions vary across sources and require validation. | partially verified medium | SRC-003SRC-016SRC-017SRC-018 |
| EC-010 | Customer concentration, retention, churn, NRR, top-account ARR and reference quality are not publicly verifiable. | not publicly verifiable high | SRC-003SRC-007SRC-016SRC-017 |
| EC-011 | Factorial operates direct, partner and integration-led distribution motions, including reseller/referral/integration partners, Zapier connections and API documentation. | verified medium | SRC-008SRC-009SRC-010 |
| EC-012 | Factorial publishes security controls including DPA/DPO/breach-policy references, account/physical security/training topics, an SLA and AWS Germany data hosting. | partially verified medium | SRC-011 |
| EC-013 | Factorial privacy materials identify GDPR-style personal-data processing roles, DPO contact and data-subject rights for web/platform users. | partially verified medium | SRC-012 |
| EC-014 | Factorial terms and legal pages identify Everyday Software, S.L. as the Spanish platform entity and list example subsidiaries in Brazil and Mexico. | verified medium | SRC-013SRC-014 |
| EC-015 | Public team signals indicate substantial scale, with company pages citing +1,500 people and careers materials describing product, software development, customer care and go-to-market teams. | partially verified medium | SRC-015SRC-016SRC-017 |
| EC-016 | Factorial competes in crowded SMB HR, payroll and business-management software markets against private and public HR/payroll/workforce platforms. | verified medium | SRC-002SRC-003SRC-004 |
| EC-017 | Public product pipeline signals include 2022 expense cards beta, API/integrations and 2025-2026 AI platform/AI Acceleration Fund messaging. | partially verified medium | SRC-003SRC-005SRC-010SRC-018 |
| EC-018 | Pending lawsuits, regulatory agency problems, insurance coverage and material contracts are not publicly verifiable from the reviewed public sources. | not publicly verifiable medium | SRC-002SRC-011SRC-012SRC-013SRC-014 |
| EC-019 | Public IP ownership is unresolved; CB Insights patent references appear inconsistent with HR software and may be a name/entity collision. | inconclusive low | SRC-002SRC-013 |
| EC-020 | Audited financial statements, cash/debt, budget-to-actuals, gross margin, ARR bridge, revenue recognition and AR aging are not publicly available. | not publicly verifiable high | SRC-001SRC-003SRC-017 |
| EC-021 | Public GTM signals include direct demo/free-start CTAs, a €10M AI Acceleration Fund campaign and a partner program. | verified medium | SRC-005SRC-006SRC-008SRC-018 |
| EC-022 | CB Insights indicates Factorial acquired Fuell in 2023 and Codegram in 2021, while TechCrunch said 2022 funding would support acquisitions. | partially verified medium | SRC-002SRC-003 |
| EC-023 | International expansion spans Europe and Spanish/Portuguese-speaking markets, increasing localization, payroll, tax and privacy complexity. | partially verified medium | SRC-003SRC-014SRC-016SRC-017 |
| EC-024 | Because Factorial processes HR/payroll/workforce records, data privacy and security are business-critical risks. | verified medium | SRC-011SRC-012 |
| EC-025 | CAC, payback, channel productivity, quota attainment and sales-cycle data are not publicly verifiable. | not publicly verifiable high | SRC-006SRC-008SRC-018 |
| EC-026 | Financing, cap-table, debt, option-pool and runway details remain private despite public funding headlines. | not publicly verifiable high | SRC-001SRC-002SRC-003SRC-004SRC-017 |
| EC-027 | Public customer and country metrics are directionally positive but inconsistent enough to require definition reconciliation. | inconclusive medium | SRC-003SRC-016SRC-017SRC-018 |
| EC-028 | Expansion from HR into payroll, finance, IT and AI increases product, compliance and implementation complexity. | partially verified medium | SRC-005SRC-006SRC-017SRC-018 |
| ID | Publisher | Title | Accessed |
|---|---|---|---|
| SRC-001 | CB Insights | CB Insights: The Complete List Of Unicorn Companies | 2026-05-23 |
| SRC-002 | CB Insights | CB Insights company profile: Factorial | 2026-05-23 |
| SRC-003 | TechCrunch | Factorial adds $120M and doubles valuation to $1B to build enterprise-quality HR for SMBs | 2026-05-23 |
| SRC-004 | TechCrunch | Spain’s Factorial raises $80M on the back of strong traction for its ‘Workday for SMBs’ | 2026-05-23 |
| SRC-005 | Factorial / Everyday Software, S.L. | Factorial homepage | 2026-05-23 |
| SRC-006 | Factorial / Everyday Software, S.L. | Factorial pricing plans | 2026-05-23 |
| SRC-007 | Factorial / Everyday Software, S.L. | Factorial customer stories | 2026-05-23 |
| SRC-008 | Factorial / Everyday Software, S.L. | Factorial partnership program | 2026-05-23 |
| SRC-009 | Factorial / Everyday Software, S.L. | Factorial integrations page | 2026-05-23 |
| SRC-010 | Factorial / Everyday Software, S.L. | Factorial API documentation | 2026-05-23 |
| SRC-011 | Factorial / Everyday Software, S.L. | Factorial security page | 2026-05-23 |
| SRC-012 | Factorial / Everyday Software, S.L. | Factorial privacy policy | 2026-05-23 |
| SRC-013 | Factorial / Everyday Software, S.L. | Factorial legal notice | 2026-05-23 |
| SRC-014 | Factorial / Everyday Software, S.L. | Factorial terms of use | 2026-05-23 |
| SRC-015 | Factorial / Everyday Software, S.L. | Factorial careers site | 2026-05-23 |
| SRC-016 | Factorial / Everyday Software, S.L. | About Factorial | 2026-05-23 |
| SRC-017 | Factorial / Everyday Software, S.L. | Factorial reaches $100M in ARR and consolidates its leadership in Europe | 2026-05-23 |
| SRC-018 | Factorial / Everyday Software, S.L. | The Factorial AI Acceleration Fund | 2026-05-23 |
This report is a public-evidence diligence snapshot, not investment advice. Important financial, legal, technical, and contractual facts remain non-public and should be verified directly with management and primary documents before any investment decision.