
Ask HN: What Happened to Zenefits? - wonderers
It was once ailed as one of the fastest growing companies in history yet I don&#x27;t hear much about them anymore. I know that there were some problems, but many startups face these problems and come out on top...
======
lettergram
Looks like it's generally trying to keep a low profile, wikipedia[1] hasn't
been updated for a while...

I can't find any numbers, but I suspect it's still around $60m - $100m in
yearly-recurring revenue. It appears to still be a pretty solid business.

[1]
[https://en.wikipedia.org/wiki/Zenefits](https://en.wikipedia.org/wiki/Zenefits)

------
jordache
ha i thought it got re branded to Gusto.. then I realized Gusto was called
ZenPayroll, hence the mix-up.... Oh these stupid startup names...

------
cavisne
I remember interviewing there during the peak hype (late 2015). Crazy
environment.

According to Crunchbase they havent raised a round since then. I would guess
the main reason we haven't heard much is:

* The ACA employer mandate has been at risk for the past couple of years, which was one of the main drivers of their business model

* They seem to have moved to a more standard SaaS model rather than giving the software away for free and making money on health insurance commissions.

* The CEO turmoil and regulatory issues caused them to keep a low profile.

Overall I think the Series C valuation is at serious risk, but the overall
business would be profitable.

------
Lenad
They seem still alive and regularly sponsor the React Vancouver Meetup
([https://www.meetup.com/ReactJS-Vancouver-
Meetup/events/past/](https://www.meetup.com/ReactJS-Vancouver-
Meetup/events/past/))

------
asadlionpk
The original founder (who was removed) has now started Rippling[1], which is
in a similar market.

[1] [https://www.rippling.com/](https://www.rippling.com/)

------
nellypat
From a product perspective: We use Zenefits and it's pretty awesome. From a
startup perspective: I think they've given up the "growth at any cost"
mentality which caused the drama few years back.

~~~
ykevinator
What does it do and why is it awesome?

~~~
cududa
Pays your employees and provides health insurance?

