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Paycom Software, Inc. is a provider of a cloud-based human capital management (HCM) software solution delivered as Software-as-a-Service (SaaS). The Company provides functionality and data analytics that businesses need to manage the complete employment life cycle from recruitment to retirement.
Get a gist about the company profile, success story, business model, etc., of Paycom in this article.
Paycom – Company Highlights
| Startup Name | Paycom Software, Inc. |
|---|---|
| Headquarters | Oklahoma City, OK, U.S. |
| Industry | SaaS, HCM, Software |
| Founded | 1998 |
| Founders | Chad Richison |
| Area Served | Worldwide |
| Website | www.dropbox.com |
Paycom – About and How it Works?
Paycom – Recent News
Paycom – Logo and its Meaning
Paycom – Founder and History
Paycom – Mission
Paycom – Business Model
Paycom – Revenue and Growth
Paycom – Awards and Recognitions
Paycom – Competitors
Paycom – Challenges Faced
Paycom – Future Plans
Paycom – FAQs
Paycom – About and How it Works?
Paycom Software, Inc., known simply as Paycom, is an American online payroll and HR technology provider based in Oklahoma City, Oklahoma.
Paycom is a provider of a cloud-based human capital management software solution delivered as Software-as-a-Service (SaaS). The company offers a suite of products including payroll, time and labor management, talent acquisition, HR and talent management.
Paycom – Recent News
As of November 2020, Paycom Software, Inc. (NYSE:PAYC), a leading provider of comprehensive, cloud-based human capital management software, today announced that the company will participate in the following virtual investor events: RBC Capital Markets Global Technology, Internet, Media & Telecommunications Conference.
Paycom – Logo and its Meaning
Paycom’s company logo has a “P” engraved on a green box in the beginning and then the company name in a very simple font.
Paycom – Founder and History
The HR startup was founded in 1998 by Chad Richison, who had formerly worked in the payroll processing industry. It began as an online payroll service provider for businesses and expanded to offer additional services including human resource management, beginning in 2001. On April 15, 2014, Paycom opened for trade on the New York Stock Exchange under the ticker symbol PAYC.
In 2011, the company moved its headquarters to a new 90,000 square foot office building, remaining in Oklahoma City. The same year it released additional services including E-Verify, onboarding, expense management, and document storage. In 2014, Paycom built a 90,000-square-foot addition to its headquarters—effectively doubling the size of its offices. In 2016, the company completed construction on a third building, bringing the total square-footage of its office space to approximately 250,000. In 2018, Paycom completed construction of its fourth building on its corporate campus totaling an additional 250,000 square-feet and bringing the total size of its headquarters to approximately 500,000 square-feet.
Paycom – Mission
Paycom’s mission statement says, “Paycom’s mission is to help its clients lower labor costs, drive engagement, and reduce exposure.”
Paycom – Business Model
The Paycom Business Model has two revenue streams:
- Subscription Revenues – Revenues it generates from fees it charges clients for subscribing to its main platform.
- Service Revenues – Revenues it generates from fees it charges clients for implementation and other services.
Vidhi Punamiya
Paycom – Revenue and Growth
Paycom Software revenue for the quarter ending September 30, 2020 was $0.197B, a 12.3% increase year-over-year.
| Year | Amount | Percentage change than last year |
|---|---|---|
| 2019 | $0.738B | +30.25% |
| 2018 | $0.566B | +30.78% |
| 2017 | $0.433B | +31.57% |
Paycom – Awards and Recognitions
Paycom has been the recipient of numerous awards and recognition including the Service Bureau of the Year Award and being named to the Metro 50 List of Oklahoma companies with the largest growth from the previous two years. Paycom was named a top workplace in Oklahoma by The Oklahoman for a fourth consecutive year, topping the list as Oklahoma’s No. 1 workplace in 2016. Paycom has also made Deloitte’s Technology Fast 500 list for the previous two years.
In 2010, it received a Stevie Award for Sales Department of the Year in the Financial Services category, following up with another Stevie Award in 2011 for Best Sales Training Manager of the Year. Inc. has recognized Paycom as both a Top 100 Job Creator in 2012 and 2013 as well as one of the Fastest-Growing Private Companies for the years 2006 through 2014. In 2014, Paycom was named to the inaugural Build 100, which recognizes less than 1.5 percent of U.S.-based companies that are noted as sustained-growth champions.
Sarika Anand
Paycom – Competitors
Paycom’s top competitors include Salary.com, OneSource Virtual, Reflexis Systems, Mercer, SAP SuccessFactors, BenefitMall, ADP, Paychex, Paylocity and Paycor.
Paycom – Challenges Faced
Beginning in February 2020, Paycom took proactive measures to ensure the safety of the employees and shore up business continuity processes in light of the increasing risks from COVID-19. They have transitioned 98% of our workforce to a work-from-home model, while simultaneously ensuring our clients continue to receive the same level of service they have come to expect from our dedicated, one-on-one customer service model.
Although they currently have some insight with respect to the shorter-term effects of the COVID-19 pandemic, it is not possible at this time to estimate the full impact that the crisis could have on our business.
Paycom – Future Plans
“I’m proud of our excellent first quarter results and the continued success we are having onboarding new clients,” said Paycom’s founder and CEO, Chad Richison. “Our value proposition has never been stronger and we continue to see increased demand for the Paycom solution. Our Paycom family members have done a great job focusing on delivering world-class service, rapidly developing software enhancements and continuing strong new client adds as we transition through this time period.”
Paycom is withdrawing its previously issued full-year 2020 guidance in light of macroeconomic uncertainties, particularly unemployment, arising from the current COVID-19 crisis.
“Our large market opportunity, profitable recurring business and attractive value proposition will help us mitigate the impact of headcount reductions across our client base,” said Paycom’s chief financial officer, Craig Boelte. “We continue to analyze the impact the pandemic is having on our client base and are hopeful to return to providing quarterly and full-year guidance once we have more visibility into the effects of the COVID-19 pandemic on the economy, specifically as unemployment numbers become more predictable.”
Paycom – FAQs
What does Paycom do?
Paycom Software, Inc. is a provider of a cloud-based human capital management (HCM) software solution delivered as Software-as-a-Service (SaaS).
How does Paycom make money?
Paycom has two revenue streams: Subscription Revenues – Revenues it generates from fees it charges clients for subscribing to its main platform and Service Revenues – Revenues it generates from fees it charges clients for implementation and other services.
Who founded Paycom?
Paycom was founded in 1998 by Chad Richison.
Which companies do Paycom compete with?
Paycom’s top competitors include Salary.com, OneSource Virtual, Reflexis Systems, Mercer, SAP SuccessFactors, BenefitMall, ADP, Paychex, Paylocity and Paycor.