The New Zealand-based fintech startup, Hnry, is seeing a rapid rise in the Australian market. It calculates and lodges income tax, GST, BAS, and PAYG for the user. In fact, Hnry can review a person’s expenses, pay Medicare and student loan obligations and even chase up clients if they’re falling behind in paying their invoices.
The users of Hnry are given a bank account that receives payment and Hnry automatically calculates the correct amount of GST, income tax, Medicare levy, student loans, superannuation owed – whatever is relevant. It also pays the amount to the ATO and super fund and then the remainder is transferred to your personal bank account.
Hnry’s managing director in Australia Karan Anand told Startup Daily that a sole trader should pay the company only when they are earning. He adds:
“It’s an important part of what we offer given that many sole traders’ income isn’t consistent.”
Karan says that this also means that a sole trader should have access to world-class accounting services:
“In fact, we can use digital technology to alleviate a lot of the stress that goes on with that.”
Karan observes that many people move into contracting or freelancing because “it’s a lifestyle choice.” He adds:
“So, if it’s a lifestyle choice, your life shouldn’t be hampered by the stress that comes with [working] out what to do with business expenses, or chasing up invoices.”
Due to the nature of service it is providing, Hnry has grown rapidly since its launch in New Zealand in 2017 – its user base has grown by 30% month on month.
Hnry co-founders are a husband and wife team of James and Claire Fuller who developed the accounting software after experiencing finance administration struggles when they were sole traders themselves. Their company is now considered Australasia’s fastest-growing digital accountancy and New Zealand’s largest specialist tax accountancy.
The company entered the Australian market in 2020 with a $4.1 million capital raise led by Equity Venture Partners. This was the beginning of the COVID-19 pandemic. However, this didn’t hinder Hnry’s progress and the company was able to hire a team to provide real-time support to its customers. Karan observes:
“Providing access for that segment of the market to engage with best-in-class services that they wouldn’t usually be able to get because it’s too expensive.”
Karan, who was the first hire of Hnry’s Australian business, has presently 14 employees working under him dedicated to solving customer problems.
Hnry has strategic relationships with NAB and partnerships with investment platform Spaceship and payment solution provider Monoova. Experts believe that with more than 1 million Australians working as self-employed, an increase of up by 110k since the start of the COVID-19 pandemic, the company will see continuous growth.