Moka is an HR tech company based in China, that wants to simplify the procedure of human resources management using software. They announced to have received funding of $100 million in a Series C funding round.
The basic aim of the startup is to make every stage of talent management completely automatic, beginning from the hiring process to retaining the existing staff members. For instance, their software can automate the procedure of collecting feedback from the candidate’s post-interview, along with storing that information in a secured database. The software also alerts employers regarding any changes made in the resumes of their team members, which can help in creating significant new opportunities.
The latest investments for Mokan were led by Tiger Global, with other participating companies like GGV Capital, GSR Ventures, GL Ventures, Blue Lake Capital and so on.
The new funding round brought in funds for the company just over a year since the company had earmarked an amount of $43 million from a Series B round. Moka announced it have reached its unicorn position, yet, was unwilling to open up regarding its current exact valuation. With the success in the streak of fundraising, it has organized, there is no doubt left over the fact that investors have a rising interest in startups that help in boosting the productivity of enterprises, including consumer-oriented, data-intensive internet services like e-commerce and regulatory restrictions based on face enhancement.
Moka is said to have accumulated a strong customer base, working for over 1500 paid clients. Their business includes brands like Arm China, McDonald’s, Xiaomi and Tencent, providing a retention rate of over 110% annually. Li Guoxing, a graduate of Stanford and the CEO of Moka, claimed in a speech that their products are extensively popular amongst Chinese internet firms.
The SaaS entrepreneurs of China had to face a hard time for years while attracting investors, as the local industries never yielded similarly explosive growth as consumer-facing products, like social networks and games. Even Blue Lake Capital, Moka’s own investor, had some doubts regarding the prospects of the ATS in the beginning.
However, soon it was found that, unlike the North American market, there was still a continued rise in the urgency of Chinese companies to improve the process of recruitment, and the sharing as well as maintenance of talent resources. This made the growth curve of Moka quite steep, adding up Blue Lake Capital to the Series B round of Moka.
As it turns out, the HRs in China are willing to even pay for ATS alongside being receptive towards it. The average paying customer of Moka shells out at 100,000-200,000 yuan every year for its software. Though it seems to be just a fraction of what its American counterparts are currently making, it is quite enough when compared to other SaaS categories in China providing services.