WorkBuzz Secures £4M Follow-on Investment from YFM Equity Partners
Deal News | Apr 28, 2025 | UK Tech Funding
Employee engagement startup WorkBuzz has raised £4 million in a follow-on funding round led by YFM Equity Partners. Established in 2018, WorkBuzz offers companies solutions for employee engagement and sentiment analysis, with particular growth driven during the pandemic as businesses adapted to remote work. To date, WorkBuzz has secured £10 million in funding across several rounds from 2021 to 2023, with YFM's support nearly doubling to £8.8 million recently. The injection of capital will facilitate WorkBuzz’s expansion plans, particularly in leveraging AI technologies to enhance its offerings. WorkBuzz has shown impressive revenue growth, reaching an annual recurring revenue of £5 million, and has recently appointed new strategic roles within the company. The investment round also drew participation from Mercia Asset Management and Foresight Group. CEO Steve Frost expressed excitement for the future of employee listening innovation with continued backing from YFM.
Sectors
- Human Resources Technology
- Venture Capital
- Artificial Intelligence
Geography
- United Kingdom – WorkBuzz, along with its main investors and operations, is based in the UK.
Industry
- Human Resources Technology – WorkBuzz operates in the HR tech industry, providing solutions for employee engagement and sentiment analysis.
- Venture Capital – The investment activity surrounding WorkBuzz, involving YFM Equity Partners and others, is rooted in the venture capital industry.
- Artificial Intelligence – WorkBuzz is exploring AI advancements in its employee engagement offerings.
Financials
- £4 million – Latest funding round led by YFM Equity Partners for WorkBuzz.
- £10 million – Total funding raised by WorkBuzz from 2021 to 2023.
- £5 million – Annual recurring revenue achieved by WorkBuzz as of March 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| WorkBuzz | Target Company | Company | A UK-based employee engagement startup founded in 2018. |
| YFM Equity Partners | Lead Investor | Company | A private equity firm leading the follow-on investment in WorkBuzz. |
| Mercia Asset Management | Investor | Company | A participant in the recent WorkBuzz funding round. |
| Foresight Group | Investor | Company | A participant in the recent WorkBuzz funding round. |
| Sophie Tainton | Portfolio Director | Person | Portfolio director at YFM Equity Partners. |
| Steve Frost | CEO | Person | Founder and CEO of WorkBuzz. |