Goodly, the leading platform for student loan assistance as an employee benefit, announced today a seed funding round of $1.3 million. The investment was led by Norwest Venture Partners with participation from Y Combinator, Ace & Company, Zeno Ventures and several prominent angel investors.
The company, founded in San Francisco by Gregory Poulin and Hemant Verma, launched at Y Combinator in 2018 to help employers recruit and retain employees by easing the burden of student loan debt for the 45 million Americans that collectively carry $1.6 trillion in student debt.
Goodly came from my own personal experience with student loans. After my father passed away unexpectedly, I had to borrow $80k to pay for my education at Dartmouth College, said Gregory Poulin, Co-founder and CEO. For many employers, offering student loan assistance is a no brainer. Were witnessing the hottest job market in a generation. One key to improving employee retention is to provide meaningful benefits, not just fun perks. With 70 percent of employees graduating with significant student debt, its not surprising that job seekers are attracted to employers that offer help with their student loans.
Goodlys platform is the first to allow employers to make monthly payments, integrated with their payroll, directly to employees student debt. The turnkey platform lets employers make regular contributions towards paying down employees student loans, while allowing employees to automate their regular payments and access expert student loan counseling through Goodlys student loan wellness platform. Goodlys platform gives users all of the resources they need to manage their student loans from one dashboard.
Goodlys mission is to help employers recruit and retain employees by offering practical employee benefits, said Hemant Verma, Co-founder and CTO. Data shows that a majority of millennial employees would trade everything from PTO, 401k match, and even health insurance to have student loan benefits. Student loan benefits can be a deciding factor for job seekers to accept an offer of employment, and a way for employers to attract top-performing talent by offering to support their financial future.
Poulin and Verma bring deep domain expertise in building and scaling human resources and employee benefits software to Goodly from their experience as early employees of the human resources startup Rippling.
As attracting and retaining the best talent at companies becomes increasingly difficult, we see our portfolio companies using creative ways to stay competitive, said Jeff Crowe, managing partner at Norwest Venture Partners. Millennials highly value student loan repayment benefits when choosing employers, and we think Goodly is best positioned to become the go-to platform for offering this benefit.
Studies repeatedly show that student loan repayment assistance is one of the most desired employee benefits and is essential to attracting top talent. But, many employers hold off on offering this benefit because they dont know where to start, or are worried about the administrative workload it would add. Goodlys platform syncs with payroll and HR systems to automate student loan benefits, streamlining the process for employers.
You can request more information and sign up for a demo of the platform on Goodlys website.
Goodly is the industry leading platform that lets any employer offer student loan assistance to employees easily and affordably. The turnkey employer solution lets employers make regular contributions towards paying down employees student loans. By leveraging its superior technology, Goodly has made student loan benefits accessible and affordable for teams of any size and budget. Companies that offer Goodly are able to better attract and retain top talent by providing meaningful benefits that support and engage employees. For more information, please visit www.goodlyapp.com.
About Norwest Venture Partners
Norwest is a premier multi-stage investment firm managing more than $7.5 billion in capital. Since our inception, we have invested in more than 600 companies and partner with over 140 active companies across our venture and growth equity portfolio. The firm invests in early to late stage companies across a wide range of sectors with a focus on consumer, enterprise, and healthcare. We offer a deep network of connections, operating experience, and a wide range of impactful services to help CEOs and founders scale their businesses. Norwest has offices in Palo Alto and San Francisco, with subsidiaries in India and Israel. For more information, please visit www.nvp.com. Follow Norwest on Twitter @NorwestVP.