What types of HR software do small companies need?

What types of HR software do small companies need?

All companies need a bare minimum number of software to keep it running. Find out what the essentials are thought to be.

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What types of HR software do small companies need?

HR software ranges from employee administration, hiring, managing training and compliance plans, employee disputes, legal templates software for employee and contractor agreements to payroll software for domestic employee and a new burgeoning field that is now focused on remote employees. We shall try and elucidate these areas at a glance.

Hiring software

Software such as Breezy and Greenhouse have become the go to for SMEs looking to advertise job listings due to the ability to track applicants, automate processes and keep applicant documents such as CVs accessible, enable interview scores to be recorded and such. Larger companies still tend to use Workday due to the enterprise level features that it has.

Pure HR

Pure HR software tends to focus on software such as SAP Successfactors, which provides a full suite of tools that enable employee management. Smaller firms use HR such as CharlieHR, hiBob and Personio but as these companies develop, the many features they have are starting to rival the features offered by longer established firms such as Bamboohr.

Employee cap table management

Many firms now offer employees shares and companies such as Ledgly have become increasingly important to enable efficient cap table management for employees and founders.


Although accountancy software such as Xero can provide rudimentary payroll features, but where dedicated payroll software really excels is through automation of the process from managing the HR records to submitting and generating the payment templates. We recommend people looking for such software to give Newpayroll a try, especially as there is a free plan!

Remote payroll

Remote hiring has become extremely popular since Covid, although in the tech world and customer support functions remote employees were already a trendy going back to the early 2000s. Companies that use umbrella organisation to enable employment contract like employment rather than contractor relationships have enabled the very easy relocation of employee hiring without the need for local legal entities or to use expensive corporate providers such as ADP. Deel is one example of a company in this area.

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