Bow River Capital’s Software Growth Equity Team Makes Majority Platform Investment in HRSoft, a Human Capital Management SaaS Market Leader in Compensation Management

Global HR Tech Company Takes Majority Investment to Drive an Accelerated Build-Out of Its Full Suite of HCM Applications, Continue Scaling Operational Infrastructure, and Profitable Growth

Orlando, FL — HRSoft announced today that it has selected Bow River Capital’s Software Growth Equity (SGE) Team to partner for operational, growth, and innovation expertise. Founded 20+ years ago, HRSoft’s SaaS platform is an industry-leading low-code platform that empowers enterprises to take control of employee compensation, rewards, and performance management. This modern and market-leading system architecture enables the full suite of applications to be 100% configurable and delivered quickly at a significantly lower total cost of ownership versus traditional human capital management systems.

Bow River’s SGE team, which has a combined 50+ years of investing and operating within the HR tech landscape, recognized the massive opportunity presented by HRSoft’s industry-leading compensation software suite and decided to move forward with the majority recapitalization.

David Kennedy, HRSoft’s CEO, said of the transaction, “The team at HRSoft has done a tremendous job of growing the business and establishing the company as the leading provider of SaaS Compensation Management Software Solutions.” David further states, “The HRSoft team has done this with limited access to capital. Now, we’re all very enthused to partner with Bow River’s Software Growth Equity group. Bow River’s major investment in HRSoft, their operational playbook, and their team of deeply experienced HR tech veterans will help us rapidly create even greater value for HRSoft’s clients, partners, investors, and employees.”

As part of the Bow River SGE team’s majority-controlled investment, fund managers John Raeder, Maitlan Cramer, and Sean O’Connell have joined HRSoft’s Board of Directors.

“We are thrilled to partner with David Kennedy, Tushar Ghoshal, and the entire employee base of HRSoft as we seek to rapidly scale its market-leading low-code architecture and purpose-built Compensation Cloud solution,” states John Raeder, Managing Director and Head of Software Investments for Bow River Capital’s Software Growth Equity strategy. He further adds, “Through detailed market research and due diligence, we developed strong conviction supporting the Company’s mission to optimize the way employers, employees, the extended workforce, and ERP partners align on full compensation lifecycle planning, execution, and compliance.”

Bow River Capital Director and SGE team member Maitlan Cramer states, “We have spent significant time investing in the HR Tech industry and have developed a strong investment thesis for a sea of change occurring across the HR function in organizations of all sizes.” Cramer further states, “We’re thrilled to be working closely with the Company to deploy our SaaS playbook and all our resources in an effort to rapidly build out their software platform, upshift their client success model, and launch a world-class go-to-market engine.”

CIBC Innovation Banking provided debt financing as a part of the transaction. Holland & Hart LLP served as legal counsel to Bow River Capital on the transaction.

JMP Securities LLC, a Citizens Company, served as the exclusive financial advisor, and Morgan, Lewis & Bockius LLP served as legal counsel to HRSoft on the transaction.


About HRSoft

HRSoft, backed by Bow River Capital’s Software Growth Equity Fund, is a market-leading employee compensation management software. The flexible low-code solution integrates with any HRIS suite and is enhanced by additional HR solutions: performance management, reward communication and pay equity. The company rapidly and inexpensively brings products to market, tailors products to meet the unique needs of large enterprise clients and minimizes the total cost of ownership. Learn more at or follow the Company on LinkedIn.


About Bow River Capital

Bow River Capital is a private alternative asset manager based in Denver, Colorado, focused on investing in the lower middle market in three asset classes, including private equity, real estate, and software growth equity. In addition to its three private fund platforms, the firm launched the Bow River Capital Evergreen Fund (EVERX) in May 2020, which provides institutional-quality private market access to a broader set of investors. Collectively, the Bow River Capital team has deployed capital into diverse industries, asset classes and across the capital structure.

Bow River Capital Evergreen Fund is distributed by Foreside Financial Services, LLC, which is not affiliated with Bow River Capital or its affiliates.

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