Factorial raises €129 million, reaching €2.1 billion valuation to become on of Europe’s most valuable scale-ups

Jun 3, 2026 - 23:00

Spanish HRTech unicorn Factorial is today announcing the closing of a €129 million ($150 million) Series D funding round, propelling their valuation to €2.1 billion ($2.5 billion) and positioning them as one of the top 20 most valuable scale-ups in the EU.

The round was led by General Catalyst, making its its first equity investment in Factorial and committing up to an additional €465 million ($540 million) through its Customer Value Fund. This brings their total committed non dilutive capital to over €602 million ($700 million). They are joined by Atomico and Four Rivers.

Jordi Romero, CEO and co founder, shares: “Ten years ago we built Factorial as a SaaS company. Today we are an AI-first company, building agents for our customers, and we are doing it for over 16,000 businesses, from Europe, with the discipline that has defined our first decade. We have reset the product, the architecture, and the way our customers run their work around AI agents.

“General Catalyst’s partnership gives us the conviction and the capital to turn that reset into a category-defining business. This round does not close a chapter. It opens the one that matters.“

When considering other 2026 HRTech and adjacent workforce-management rounds, Factorial’s Series D is notably larger, with disclosed financings ranging from €1 million for Move To Happiness to €40 million for Hublo.

The comparison points to continued investment across several layers of the people-operations stack: core HR and business management, background screening, healthcare staffing, hospitality workforce planning, recruitment data infrastructure, wellbeing analytics and skilled-trades labour platforms.

Within that context, Factorial’s round sits at the later-stage end of the market, while wider 2026 activity suggests investor interest remains distributed across more specialised AI-enabled workforce and organisational software use cases.

Pranav Singhvi, Partner at General Catalyst, adds: “The next decade of enterprise software will belong to the companies that rebuild themselves around AI, not the ones that bolt it on. Factorial is doing exactly that, and doing it with a level of product horizontality and an ambitious growth at scale that is rare anywhere in the world. That combination is why we are deepening our partnership across both equity and our Customer Value Fund.”

Founded in 2016 by Jordi Romero, Bernat Farrero and Pau Ramon, Factorial is a business management software that looks to help companies save time and make decisions with easy access to data. Factorial is used by over 16k companies across 90+ countries and achieved unicorn status in 2022 after a successful Series C funding round.

After ten years building one of Europe’s largest systems of record for HR, finance and IT, the company says they have reset their product around AI. At the centre of that reset is Factorial One, a unified workspace built around a deliberately simple two-agent model.

One agent represents the organisation, learning and applying the policies a company defines across HR, finance and IT.
The other represents the individual employee, multiplying what each person can do within those policies by drafting work, surfacing what they need, and executing tasks on their behalf with full accountability to the person it serves.

Where much of the market is racing to deploy hundreds of specialised agents, Factorial’s bet is that companies want fewer and smarter agents, clearer accountability, and a single source of truth for how their business runs.

Hemant Taneja, CEO of General Catalyst, notes: “At General Catalyst, our goal is to be the first and last source of capital for the world’s most ambitious companies. Factorial is the perfect example”.

The additional commitment through the Customer Value Fund represents a pre fund of their sales and marketing investments, with returns tied exclusively to the customer value generated and capped at a fixed amount.

A significant portion of this capital will fuel Factorial’s expansion in Germany, their number one international growth market. To anchor this push, they have also announced the opening of a new corporate office in Munich. Over the next 12 months, hiring will scale significantly across Germany, covering sales, customer success, product, marketing, and engineering roles.

“Germany is our most important market in Europe, and it has been underserved for too long. We are putting our team, our capital, and our product roadmap behind it. Munich is just the start”, adds Jordi.

Beyond Germany, they will continue to accelerate their rapid growth across France, Italy, and Portugal, supported by a global hiring velocity of up to 50 new team members per week as we prepare to define the future of business operations.

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