Free SME service Thankyou Payroll gives profits to Wellington community
Wellington business Thankyou Payroll is putting purpose and profit side-by-side.
The fast-growing enterprise provides free, cloud based payroll intermediary services to about 3000 small and medium enterprises and charities throughout New Zealand.
It then distributes a proportion of its revenue, in the form of grants, to community groups through the Thankyou Charitable Trust, which was launched in 2013.
Chief executive Christina Bellis, who used to work for the Sustainability Trust, has been charged with growing the business.
From its inception, the business adopted a social enterprise business model, she said.
She wanted to demonstrate business success, alongside fostering a culture of generosity and 'paying it forward'.
To date the business had managed more than $350 million in wages and tax, and was overseeing almost $6m a week.
The business was a payroll intermediary and received a $2 subsidy per employee per organisation for up to 5 employees.
"It has such a slick operation, we are able to run a business, keep the service free of charge, and put a portion of revenue back into the community with this subsidy."
The business had managed burgeoning growth alongside the skill of bootstrapping, she said.
During the 2015 financial year its client base grew by 350 per cent and the business was on track to to double the numbers this year.
"We solve three issues with our services: providing solutions for business, for government, and for communities, managing money, managing taxes, and building community all in one shot."
Wellington region clients include cafes and hairdressers, churches, building and scaffolding companies, real estate and legal offices, Subway, Dress for Success, Toy Library Federation of New Zealand, La Boca Loca, Kapai New Zealand, Action Station, Community Energy Action and Wairarapa Chiropractic.
The bespoke, cloudbased software was a simple way for clients to manage their staff's hours.
Thankyou Payroll then takes care of the complexities like filing all PAYE and superannuation contributions (ESCT) to the Inland Revenue Department, managing employee's annual leave accrual, paying staff and issuing payslips.
It also handled KiwiSaver, child support, and government fines, she said.
The payroll service is free for SME's and charitable trusts with an annual PAYE and ESCT of up to $500,000 and is based on a two day payroll turnaround.
If employers wanted a faster turnaround, they can opt to pay a nominal amount per employee for a one day service, or an overnight service.
All fees are waived if the employer chooses to contribute a minimum of $30 a month to the Thankyou Charitable Trust.
As the business grows, so do the community grants.
The maximum allowance for a community grant had increased 300 per cent to a maximum of $3000 a grant.
Grant recipients in Wellington included Kaibosh Food Rescue, Innermost Gardens, Skylight Trust, and Newtown Ethical Lending Trust.
The Thankyou Payroll software also allows employees to make charitable donations through their wages.