YC alum Cercli raises $12M in oversubscribed Series A, powering AI solutions for MENA.
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Cercli: Revolutionizing HR Tech in MENA with AI Integration
Introduction to Cercli
In a landscape often hindered by fragmented enterprise systems and outdated compliance tools, Cercli is emerging as a transformative player for businesses in the MENA region. Founded by seasoned entrepreneurs Akeed Azmi and David Reche, both of whom previously held roles at Careem, this Dubai-based startup aims to unify various HR functions using cutting-edge artificial intelligence.
Recently, Cercli closed an impressive $12 million Series A funding round, oversubscribed and led by European venture capital firm Picus Capital. This financial boost marks a pivotal moment in Cercli’s journey, building on its earlier success with a $4 million seed round.
Transitioning to an AI-Native Model
Cercli has evolved significantly since its inception, reshaping its offerings to create an AI-native platform akin to the functionality that Rippling provides but specifically tailored for the MENA market. This strategic pivot has yielded remarkable results, with the company reporting a 10x increase in revenue within just a year and handling over $100 million in payroll across 50 countries.
The Need for a New HR Tech Player
In an HR-tech sector saturated with competitors like Deel and Remote, plus larger firms such as SAP and Oracle, one may wonder: What gaps remain that Cercli plans to fill? CEO Akeed Azmi believes that its AI-first philosophy positions Cercli uniquely within this crowded space. He founded the company to streamline people operations—a pain point he encountered firsthand in his days at Careem and Kitopi.
Cercli initially focused on creating a consolidated platform that combined human resources management, payroll, and compliance for organizations operating in multiple jurisdictions. However, Azmi quickly recognized a larger opportunity by integrating AI into the core of their solutions.
Transforming Payroll Operations
In the last three months, Cercli has dedicated efforts to overhaul its payroll engine, making it multi-country and agent-compatible. This development allows the platform to operate more efficiently across various jurisdictions, a critical need for global enterprises.
Azmi stated, “Legacy systems built over the past two decades were designed for on-premises use and the cloud. We are now entering an AI-native landscape.” The goal was not just to integrate AI but to fundamentally rethink how human resources and agents interact within the operational framework.
Enhancements in Recruitment
Cercli’s transformations are not limited to payroll; the recruitment module has also seen significant advancements. The platform now incorporates agent-driven features, enabling streamlined capabilities such as candidate sourcing from internal databases and intelligent assessment of prospective hires.
Internal Operations Fueled by AI
In an additional testament to their AI expertise, Cercli has harnessed custom-built treasury and reconciliation agents for its internal finance and accounting activities. This use of AI technology has allowed the relatively small team of 14 to sustain a remarkable month-to-month revenue growth rate of 21%, even while securing its Series A funding.
Consolidation Over Fragmentation
One of Cercli’s core strengths lies in its ability to offer a consolidated solution. While many competitors provide multi-module HR systems—like Deel, Rippling, and BambooHR—MENA businesses frequently find themselves connecting disparate applications for payroll, expense management, and recruitment. Azmi articulated the shift in customer demands: “Clients are asking for everything in one place, and being AI-native enables us to deliver that unified experience much faster.”
Cercli’s architecture allows for rapid onboarding of clients, with setup processes that can take as little as two to three days, in stark contrast to the months usually required by legacy systems. This efficiency has attracted a diverse range of clients, from startups to large multinationals, including Vision Bank and the Global Climate Finance Centre.
Strategic Partnerships and Investments
Cercli’s recent funding round marks Picus Capital’s inaugural investment in the MENA region. The firm has previously backed several successful global HR companies like Personio and Deel. Other investors participating in the Series A round include Knollwood Investment Advisory, and existing stakeholders like Y Combinator, Afore Capital, and COTU Ventures.
Future Plans and Market Opportunities
The recent funding will enable Cercli to develop new AI-native products and enhance its market presence in the $5.8 billion HR software sector in MENA. As Robin Godenrath, a founding partner at Picus Capital, expressed, “We have observed this business model thrive globally within our investment portfolio, and we are excited to support Cercli as they seek to expand their market share through new customer acquisition and product launches.”
Conclusion
Cercli is undoubtedly positioning itself as a transformative force in the HR tech landscape of the MENA region. With a focus on integration and AI-native functionalities, Azmi and his team are addressing critical pain points for businesses striving for operational efficiency. As the startup continues to grow, it promises to disrupt the traditional HR technology landscape, setting a high bar for innovation and efficacy in enterprise solutions.
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