Barcelona, 3th October 2023.
Factorial, the All-in-One Human Resources (HR) Platform for SMBs, announced today the successful acquisition of Fuell, an Expense Management startup from Spain. This transaction marks the Spanish unicorn's first major acquisition, and product expansion, in support of its mission to transform the HR industry and empower employees everywhere.
Fuell has emerged as a top contender in the Expense Management sector, offering SMBs a unique software with cards focused on budget management and the simplification of back-office tasks such as VAT recovery. Founded by Eduardo Ortiz de Lanzagorta and Edgar Alvarez, Fuell has achieved remarkable revenue growth over the past year, boasting a YoY increase of 250% and serving over 6,000 active users. The company is backed by Y Combinator as well as investors such as Fin Capital, FJ Labs & K Fund, with the latter also being an investor in Factorial.
This move promises Factorial's clients an improved product suite that outperforms existing solutions, which used to focus on HR or Expense Management individually. “With this acquisition we are one step closer to our mission to make Factorial the all-in-one Business Management software platform, not only by adding amazing in-house financial product development, but also by investing in unique solutions that have proven how useful and needed they are”, claims Jordi Romero, founder & CEO of Factorial.
Factorial recently began expanding its core HR offering into financial services, but the acquisition of Fuell both accelerates that product development in addition to highlighting the company's commitment to delivering an all-in-one business management platform for all things employee-related.
"We are thrilled to see the journey of Fuell reach new heights through this acquisition by joining forces with the amazing team at Factorial '', says Eduardo Ortiz de Lanzagorta, Fuell’s founder & CEO. “Our vision has always been to revolutionize expense management for businesses, and with Factorial's expertise and resources, we are confident this vision will be achieved much faster”, adds.
Fuell's entire team will join Factorial's more than 1,000 global team members as part of the acquisition, and will continue to lead the product development and roll-out of the new integrated expense management offer to Factorial's more than 500,000 users worldwide.
Moreover, this acquisition offers a promising opportunity for Factorial’s growth expansion beyond its main product offering and directly challenges well-funded Expense Management players in Europe. The global Expense Management Software market is valued at 7 billion USD, and is projected to sustain a CAGR of 9% in the coming years, according to Fortune Business Insights.
Factorial is acquiring the entirety of Fuell's assets in a cash and equity deal, including its proprietary technology, clients, and team. Fuell’s co-founders will continue to serve as advisors following the acquisition.