While it is not exactly crowded, the market for full-service 401(k) providers serving small- to medium-sized businesses has gotten a boost with significant additional funding going to Human Interest.
The San Francisco-based company raised a $40 million C round in February, led by Oberndorf Enterprises LLC. The new funding comes on the heels of a $15.4 million Series B round it raised in August. This brings the company’s total funding raised to just shy of $70 million since its founding in 2015.
The company has also moved into new offices in San Francisco’s financial district and added “key additions to leadership and overall team,” though these employees were not named.
Like competitors Ubiquity Retirement + Savings and Guideline, Human Interest offers transparent pricing that is affordable when compared with incumbent offerings. Each of the three firms has built out its own fully digital and mostly automated tech stack, with access to thousands of investment options. Each also has programs for working with financial advisors.
While Ubiquity appears to have the largest number of integrations with third-party payroll providers (30 in all, with four of those that it refers to as “enhanced”), Guideline has what it calls “full integrations” with eight and “syncs” with another 12, and Human Interest provides what it refers to as “no-touch” integrations with 17.