DianaHR, the first AI-powered HR-as-a-Service platform for SMBs, has secured $3.7 million in seed funding. The round was led by SNR Ventures with participation from General Catalyst, Y Combinator, and unicorn founders from Mercury, Twitch, and Dropbox. With this investment, DianaHR plans to expand its engineering and operations teams, accelerate its product roadmap, and onboard more clients from its growing waitlist. The company has already doubled its revenue every quarter since launching earlier this year, reflecting strong market demand.
“DianaHR’s competition comes from the 54,000 HR consultancies in the US capturing $100 billion alongside payroll software,” said Kevin Mahaffey, founder of SNR Ventures. “This industry is similar to the taxi market before Uber, ready for disruption. DianaHR can deliver HR services faster, more accurately, and at a lower cost. This is the right team to ignite an AI revolution in HR.”
Disrupting HR with AI-Powered Efficiency
Founder Upeka Bee, former Head of Engineering at Gusto HR, emphasized the challenges SMB owners face. Many still spend over 15 hours weekly on HR tasks. “Small business owners want to grow their companies, not manage HR and payroll,” Bee explained. “AI can bring a full HR team to every SMB. We built DianaHR to overlay Gusto and other HR tools so owners don’t need to replace existing systems.”
DianaHR’s platform uses a proprietary multi-agent orchestrator to automate repetitive HR processes, cutting costs by over 60 percent. Instead of building an in-house HR team, SMBs can rely on DianaHR for streamlined services. Every client is assigned a human DianaHR specialist, who handles requests via email and Slack, while most tasks are automated by AI. This human-in-the-loop approach blends automation with expert support.
Seamless Integration Across HR Tools
The platform integrates smoothly with leading HR software such as ADP, Gusto, Rippling, Warp, and Every.io, allowing clients to retain current systems. By reducing complexity, DianaHR ensures SMBs can adopt automation without disruption.
“Traditional HR consultancies often deliver poor customer satisfaction, with ratings between 20-40 percent,” Bee noted. “DianaHR has achieved an NPS score above 90 and zero churn to date. This proves human-in-the-loop AI excels at HR tasks. This is the future of HR.”
Explore HR Tech News for the latest advancements in Human Resources Technologies and insightful updates from industry experts!
News Source: Businesswire.com
