Compensation management startup BetterComp Inc. revealed today that it has raised $33 million in new funding to enhance its market pricing and pay recommendation capabilities, expand into new product areas, and scale up operations.

Founded in 2019, BetterComp is seeking to modernize compensation management for human resources and compensation professionals. The company’s founders, which include veterans from Salary.com Inc., PayFactors LLC, MarketPay Solutions Inc. and PayScale Inc., recognized that legacy systems hadn’t evolved in two decades and set out to build a more intuitive, powerful alternative.

“We spent years watching HR departments benefit from consistent advancements in technology that made their roles more seamless and agile,” said co-founder and Chief Executive Alan Miegel. “When we founded BetterComp, our goal was to bring similar innovation to compensation departments, which have historically lacked this kind of progress.”

BetterComp offers advanced market pricing technology that allows compensation teams to streamline survey data ingestion, job matching, range modeling and reporting. The company’s platform consolidates survey data from industry leaders such as Aon plc, Mercer, Willis Towers Watson Public Ltd. Co., Korn Ferry International, Culpepper and Associates Inc. and Compa Inc. to allow users to apply custom compensation philosophies at scale.

Along with data integration, BetterComp also enhances efficiency through automation and analytics, with features including outlier detection, data normalization and reporting that allow compensation professionals to respond to budget cycles, board requests, or geopolitical salary changes.

Another feature offered by the company, a data management module, helps translate legacy survey matches into updated formats with minimal manual effort, critical as job codes, level structures and vendor taxonomies change year-over-year. The company also offers more than 50 prebuilt reports, plus custom reporting crafted by its customer success team, reinforcing its emphasis on scalability and support.

BetterComp said it has doubled annual revenue growth in each of the past two years, off an undisclosed base. Some 38% of its customers are Fortune 500 companies and the company’s headcount has grown 33% so far this year.

The funding, the first time BetterComp has raised funding as it has been previously bootstrapped, came from Ten Coves Capital.

“We see tremendous value in what BetterComp is building and believe this team has the domain knowledge and network to create a market-leading company in the compensation industry,” said Ten Coves Partner Steve Lula.

Image: BetterComp