Companies from across the industrial spectrum often rely on a migrant workforce employment. But being away from their domestic jurisdiction and financial infrastructure presents a host of challenges. Including what is probably the most important part for the worker themselves.
From the company’s perspective, meanwhile, they may have to administer payments for workers hailing from multiple different locations. Many of whom are in temporary or short-term placements.
Just four months after announcing a $8.5 million seed round of funding, Kadmos today revealed it has added another €29 million; to the pot via a series A tranche led by Blossom capital, with participation from Addition and Atlantic Labs.
The problem
Given that migrant workers are — by definition — away from home for the specific purpose of employment; they also need to be able to spend what they earn.
Alternatively, a company may elect to pay their workers through intermediaries such as local banks, remittance companies, agencies, or other third-parties. This not only includes a lot of fees, but significant paperwork and delays too.
A modern fintech
In effect, Kadmos embodies the modern fintech movement. It has many of the benefits of a modern challenger bank such as Monzo, in addition to cross-border payment features similar to the likes of Wise or remittance platforms such as Remitly.
By solving two problems at once — helping migrant workers get paid, and alleviating many of the costs and administrative burdens for employers — Kadmos sits in a pretty strong position as the world continues to emerge from lockdown and normal business resumes.
-Reuters.
