Salary.com is preparing to add dozens more salaries to its own payroll at its Waltham headquarters — at least 100 of them, in fact.
The salary database firm unveiled a new round of equity and debt financing on Wednesday totaling $67 million. Salary.com founder and chief executive Kent Plunkett plans to use much of the money to add 100-plus jobs based in Waltham over the next two years, and more than 200 globally over that same time. The firm currently employs about 300 people, including 115 in Massachusetts.
The financial backers in this funding round include Accel-KKR, Centre Lane Partners, and Wells Fargo Capital Finance, as well as prior investors H.I.G. Capital and members of the Salary.com management team.
Plunkett said demand for the company’s services has soared as the widespread acceptance of remote work during the COVID-19 pandemic rewrites the rules for recruiting workers. Salary.com runs a website that consumers use to gauge salaries for their particular field, in a particular region. But the vast majority of the firm’s revenue comes from business-to-business services. It provides subscription software that helps thousands of clients access and analyze a treasure trove of compensation data.
For Plunkett, the funding and expansion are vindication of his move more than five years ago to buy the company from IBM with the financial backing of H.I.G. and Prudential Capital Group.
Founded in 1999, Salary.com is one of the survivors of the dot-com boom and bust of two decades ago. The firm went public in 2007 but later faced pressure from activist investors and was sold to Kenexa for $80 million in a deal announced in 2010. Kenexa was later gobbled up by IBM in 2012 for $1.3 billion. Plunkett, who was there at the start but left Salary.com in 2010 around when it was sold to Kenexa, said he asked IBM about the possibility of a management buyout in 2013. IBM wasn’t ready at the time, but reached out to Plunkett two years later to discuss a deal.
Since taking over again five years ago, Plunkett said he has hired about 70 people who once worked with him at Salary.com. He describes getting the band back together as the “most fun part of the whole journey.”
“We were able to reestablish the village and bring back the people,” Plunkett said. “It’s so validating to be back with all the people who built the business the first time.”