CheckPoint HR Raises $7.6 Million

CheckPoint HR, an Edison, N.J.-based provider of outsourced administrative services for mid-sized organizations, has raised $7.6 million from Edison Venture Fund. Some of the proceeds will be used to provide shareholder liquidity. 

PRESS RELEASE

CheckPoint HR, an innovator and leading Administrative Service Organization (ASO) that offers mid-size organizations an integrated Human Resource Management System (HRMS) for payroll services, human resources, and benefits administration, today announced it has secured a $7.6 million investment from Edison Venture Fund. The proceeds of the investment will be used to expand sales, marketing, development and services plus provide shareholder liquidity.

“CheckPoint HR looks forward to collaborating with Edison Venture Fund on our aggressive growth and expansion plan,” said Tim Padva, CEO, CheckPoint HR. “Our Web-based, integrated HRMS technology platform combined with our group health insurance services through the Wilshire Group, offers companies an innovative alternative to the standard payroll service and will assist them in centralizing their vital business functions. With this investment, CheckPoint HR will continue to lead the payroll/HR industry in streamlining and automating all aspects of the employee and HR lifecycle.”

Joe Allegra, General Partner, and Edison Director Network member, Jim Foster, joined CheckPoint HR's Board of Directors. Foster was COO of another Edison Venture success, Best Software. Chris Sugden, General Partner at Edison Venture worked with management to structure the investment in CheckPoint HR. Edison Ventures' Tom Vander Schaaff, VP Analysis, conducted due diligence on the investment.

“The market for Web-based payroll/HR services is growing and CheckPoint HR and its management and operational team have the expertise and the business model in place to lead the industry,” said Chris Sugden, General Partner, Edison Venture Fund.

About CheckPoint HR

Since 2001, CheckPoint HR, based in Edison, New Jersey, has helped mid-size organizations automate all aspects of their human resource operations. As a leading Administrative Service Organization (ASO), CheckPoint HR's innovative Web-based Human Resource Management System (HRMS) technology platform and http://www.checkpointhr.com/ [payroll services] offer an affordable, comprehensive solution to manage payroll and benefits administration, as well as other business-critical human resources processes. This allows mid-market organizations to deliver world-class services

to its employees, reduce costs, and improve operational efficiencies. Clients include such names as The American Stock Exchange (AMEX), The Applied Companies, Croda, Inc., Flemington Family of Dealerships, Hamon USA, Kyowa Pharmaceutical, Nickelodeon Hotels, Quintum Technologies, and Starwood Capital. Further completing its HR management solutions, CheckPoint HR boasts one of the largest insurance agencies in the Northeast through The Wilshire Group, its benefits affiliate that offers its customers benefits procurement backed by a sales team of licensed insurance brokers. In November 2007, The Wilshire Group launched the BENeLERTTM Process, a 180-day proven practice to help clients identify the best rates and plans for their insurance needs. For more information on CheckPoint HR, please visit www.CheckPointHR.com or call 800.385.0331.

About Edison Venture Fund

Established in 1986, Edison partners with entrepreneurs, service providers and other financing sources to build successful companies. Edison provides capital and value-added services to expansion stage ($5 to 20 million revenue), information technology businesses. Initial investments range from $5 to 8 million. Edison typically serves as a sole or lead investor in financings up to $10 million. In addition to providing expansion capital, Edison funds management buyouts, recapitalizations, spinouts and secondary stock purchases.

Edison's investment professionals are based in Lawrenceville, NJ, McLean, VA, New York, NY, Needham, MA and West Chester, PA. Industry specialties include application software, communications, financial technology, interactive marketing, healthcare & pharmaceutical IT. Edison's successes include Axent, E-Transport, Liberty Tax, Marcam, Mathsoft, POMS, Visual Networks, Vocus and many other information technology leaders, which have a combined market value exceeding $5 billion. Edison currently has $550 million under management and is actively making new investments. www.edisonventure.com