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Gusto Raises $140 Million Series C to Transform the Future of Work

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Technology company expands its people platform to change how people are
paid

Gusto, the leading payroll, benefits and HR technology platform for
small businesses, today announced it raised $140 million in a Series C
funding round. Leading late-stage investors including portfolios managed
by T. Rowe Price Associates, Inc., MSD Capital (Michael Dell), Dragoneer
Investment Group and Y Combinator Continuity Fund participated and are
joined by existing investors General Catalyst, CapitalG, Kleiner
Perkins, 137 Ventures, Emergence Capital and others.

"We are thrilled to welcome these long-term investors to the Gusto
community. They share our passion for creating a world where work
empowers a better life," said Josh Reeves, Gusto co-founder and CEO. "We
chose these investors because they care about enabling small businesses
with modern payroll, benefits and HR. There are millions of companies
out there to help, and this is a long-term journey for us. We're just
getting started."

"We believe Gusto has an opportunity beyond the payroll category in
which they have demonstrated leadership for the last six years," said
Henry Ellenbogen, T. Rowe Price New Horizons Fund portfolio manager.
"The company has a strong and focused management team, and it has the
potential to become much larger as it expands its efforts to employees
who seek to improve their financial mobility and achieve greater
personal prosperity."

The investment will be used to drive significant additions to Gusto's
all-in-one payroll, benefits and HR technology platform including new
capabilities to help employees manage when and how they get paid. The
company recently launched Flexible Pay, which lets employees choose when
they want to get paid, regardless of their employer's pay schedule and
without affecting their employer's payroll or cash flow.

"We are thrilled to deepen our support for Josh and the team. They have
created an incredible opportunity with small businesses, which are
responsible for two-thirds of the net new jobs and half of the U.S.'s
GDP," said Ken Chenault, General Catalyst chairman and managing
director. "Gusto is supporting entrepreneurs and family-run companies
that have been left behind by others while becoming the growing standard
for small businesses."

Launched in 2012, Gusto processes tens of billions of dollars of payroll
and empowers employers to provide robust benefits like health insurance,
401(k) retirement plans and 529 college savings plans, that
traditionally only larger companies could offer their employees. The
company serves more than one percent of all employers in the U.S.

To learn more about how Gusto is creating a world where work empowers a
better life, visit gusto.com.

About Gusto

Gusto's mission is to create a world where work empowers a better life.
By making the most complicated business tasks simple and personal, Gusto
is reimagining payroll, benefits and HR for modern companies. Gusto
serves over 60,000 companies nationwide and has offices in San Francisco
and Denver.

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