Skip to main content

If you're a small business looking for a software solution to support your HR function, it's important to do your research before you invest. There are tons of great HR software options—and Factorial is among them—but you want to be sure its features, functionality, integrations, and pricing structure match up with your business needs.

Say no more. I've done the digging so you don't have to, and compiled my findings in this in-depth review. Researching and reviewing software is something I've been doing for a long time, so I have a good sense of what makes one solution stand apart from the rest. I've covered Factorial's feature suite, pros and cons, best use case, and top alternatives, so keep reading to find out if it's the right fit for your team!

Factorial review showing the time tracking feature that monitors employees working hours
I find it super helpful that Factorial has time tracking built-in, so you don't need to jump to another system to oversee employee hours.

Factorial Software Product Overview

Factorial is an HR platform that streamlines various human resource management tasks into a single, user-friendly system. It primarily serves small to medium-sized businesses looking to simplify their HR processes. The tool offers benefits such as automating time tracking, managing time off, and improving the performance review process. It tackles common pain points like inefficient workflow, complicated onboarding, and fragmented employee information management. Some of Factorial's best features include its comprehensive employee portal, robust document management capabilities, and efficient applicant tracking system.


  • Employee Portal: Easy access. This feature allows employees to self-manage their personal information, clock in and out, and view payslips, which encourages autonomy and reduces HR team workload.
  • Performance Reviews: Enhanced evaluations. Factorial provides tools for detailed performance management, enabling regular and structured employee evaluations that can lead to meaningful development conversations.
  • Notifications: Stay updated. The software ensures users never miss important dates or tasks with its notification system, enhancing the overall rating of its workflow management.


  • Integrations: Limited reach. While Factorial offers a range of functionalities, it may fall short in API offerings compared to other HR software, which can hinder seamless integration with certain third-party systems.
  • Payroll Management: Separate solution. Users may find the lack of in-built payroll management features a gap, often needing to integrate with external systems to complete their HR suite.
  • Language Support: Spanish focus. Factorial caters strongly to Spanish-speaking markets, which might present a language barrier for non-Spanish users and businesses.

Expert Opinion

In my experience with various SaaS HR solutions, Factorial stands out for small businesses that aim to manage the workforce efficiently with a lean HR team. It outperforms user experience and fundamental HR tasks but may underperform in deeper integrations and advanced features like payroll management. It's well-suited for startups and small enterprises that prioritize a straightforward HR management system and could benefit from its strong core offerings.

Factorial: The Bottom Line

Factorial's unique approach lies in its dedication to simplifying HR processes for small and medium-sized businesses with a comprehensive yet straightforward platform. What sets it apart is the combination of time off management, performance reviews, and an intuitive employee portal within a single mobile app, offering more than just basic HR tasks. Its standout feature is certainly its user reviews, which often highlight the ease of use and the ability to centralize and automate HR management effectively.

Factorial Deep Dive

Here's a deep dive into Factorial's features, best use cases, pricing, customer support, and other purchase factors.

Product Specifications

  1. Employee Database Management - Yes
  2. Payroll Processing - No
  3. Benefits Administration - No
  4. Time and Attendance Tracking - Yes
  5. Applicant Tracking System (ATS) - Yes
  6. Onboarding Tools - Yes
  7. Performance Management - Yes
  8. Self-Service Portal for Employees - Yes
  9. Learning and Development Management - No
  10. Succession Planning - No
  11. Compensation Planning - No
  12. Compliance Management - Yes
  13. HR Reporting and Analytics - Yes
  14. Leave and Absence Management - Yes
  15. Talent Acquisition - Yes
  16. Employee Engagement Tools - No
  17. Workforce Planning - No
  18. Career Development Planning - No
  19. Employee Scheduling - No
  20. Document Management - Yes
  21. HR Workflow Automation - Yes
  22. Employee Recognition Tools - No
  23. Mobile Access - Yes
  24. Social Recruiting - No
  25. Customizable HR Processes - Yes

Feature Overview

  1. Employee Database Management: Factorial's centralized employee database stands out by offering a secure, cloud-based repository for all workforce management data accessible from anywhere.
  2. Time and Attendance Tracking: The platform's time tracking capabilities not only automate the process but also provide detailed insights into employee work patterns, distinguishing it with precision and ease of use.
  3. Applicant Tracking System (ATS): Factorial’s ATS streamlines the recruitment process by offering a single platform for posting jobs, sorting applicants, and tracking progress through the hiring stages.
  4. Onboarding Tools: Use Factorial to create personalized onboarding experiences for new hires, ensuring they feel welcomed and informed from day one, which sets it apart with its customizability.
  5. Performance Management: The software facilitates detailed performance reviews, allowing for continuous feedback and goal tracking, making it an integral tool for employee development strategies.
  6. Self-Service Portal for Employees: Factorial provides an intuitive self-service portal, empowering employees to manage their personal data, time off requests, and other HR-related tasks independently.
  7. Compliance Management: Its compliance management feature ensures that businesses stay up-to-date with legal requirements, offering peace of mind with its comprehensive legal frameworks and updates.
  8. HR Reporting and Analytics: With Factorial, you can harness the power of data through its robust reporting and analytics, providing actionable insights to drive strategic HR decisions.
  9. Leave and Absence Management: The platform simplifies managing employee leaves, offering an all-in-one solution to track, approve, and report absences, which is particularly beneficial for ensuring operational continuity.
  10. Document Management: Factorial's document management system not only stores documents securely in the cloud but also organizes and retrieves them with ease, enhancing efficiency and control over company documentation.

Standout Functionality

  1. Performance Management Integration with Other HR Functions: Factorial's performance management tools are tightly integrated with other HR functions like attendance and time tracking, offering a more holistic view of an employee's contributions and areas for growth than some other platforms that treat performance reviews as a standalone feature.
  2. Legal Updates and Compliance Management: Unlike many HR solutions, Factorial provides real-time legal updates and compliance management tools specific to different regions, helping businesses adapt to local labor laws and regulations seamlessly, which is a standout for multi-national companies or those in rapidly changing legal landscapes.
  3. Employee Engagement Analytics: Factorial includes a distinctive employee engagement analytics feature that allows companies to measure and analyze workforce engagement and satisfaction directly through the software, offering insights that go beyond traditional performance metrics and contribute to a deeper understanding of the organizational culture.


Factorial integrates with key productivity platforms like Google Workspace and Microsoft 365, enabling seamless synchronization of calendars and employee information for efficient HR workflow. They offer an API for custom connections, broadening the potential for bespoke integrations with a variety of business systems. Additionally, Factorial supports add-ons to complement its core offerings, such as specific payroll and recruitment extensions, enhancing its adaptability to unique business needs.

Factorial Pricing

  • Free Version: Factorial does include a free tier, which provides basic features such as employee management, document storage, and time tracking, making it an attractive option for startups or small businesses looking to manage essential HR tasks without added costs.
  • Standard Plan: The standard tier usually comes at a cost of around $4-6/user/month (billed annually), designed for businesses that require more advanced features such as onboarding, performance reviews, and a wider range of integrations. This plan often carries a minimum seat requirement which varies based on the provider's current pricing policy.
  • Professional Plan: Priced at approximately $8-10/user/month (billed annually), this plan is geared towards more established businesses that need even more functionality, including advanced reporting, priority support, and increased data capacity.

Ease of Use

In evaluating Factorial, I find the interface to be user-friendly, with clear labels and a logical structure that facilitates straightforward navigation and organization. The onboarding process is guided and methodical, but some users might encounter complexities when configuring intricate HR workflows or custom settings. While most features are accessible, the detailed analytics functions require a bit of a learning curve for those less accustomed to data-driven tools.

Customer Support

I perceive Factorial's customer support as robust, offering multiple channels including email, live chat, and a comprehensive resource library with documentation and tutorials. Response times are typically prompt, with most inquiries addressed within a business day. However, some users report frustration with the depth of immediate live support for complex issues, indicating a potential area for improvement in providing more specialized or technical assistance on demand.

Factorial Use Case

Who Would Be A Good Fit For Factorial

In my evaluation, Factorial serves best in small to medium-sized businesses, where the breadth of its HR functions can be fully utilized without overwhelming complexity. Its most loyal customers tend to be in industries that value streamlined HR processes and robust data analytics, like tech startups and service-based companies, where efficient workforce management and compliance are critical.

Who Would Be A Bad Fit For Factorial

From my perspective, Factorial may not be well-suited for very large enterprises or highly specialized industries that require complex, customized HR solutions beyond standard offerings, as these users may find its features too generic. Customers in such settings, particularly those needing advanced integrations or bespoke functionality to handle thousands of employees, often express dissatisfaction with the tool's scalability and customization limitations.

Factorial FAQs

Can Factorial software accommodate different types of employment contracts?

Yes, Factorial allows for the management of various employment contract types, providing flexibility in handling diverse workforce agreements.

Does Factorial support multiple languages for international teams?

Yes, Factorial supports multiple languages, making it a good fit for international teams and businesses operating across different countries.

Is there a mobile app available for Factorial HR software?

Yes, Factorial offers a mobile app that enables employees and managers to handle HR tasks on the go.

How does Factorial handle data security and privacy?

Factorial employs robust security measures to protect data privacy, including compliance with GDPR and other international data protection regulations.

Can Factorial integrate with payroll systems?

Yes, Factorial can integrate with various payroll systems, streamlining payroll management alongside other HR processes.

Does Factorial offer time off management?

Yes, Factorial includes time off management features, allowing for easy tracking and approval of leave requests.

Are performance reviews and evaluations part of Factorial’s features?

Yes, Factorial provides tools for performance reviews and evaluations, helping businesses track and improve employee performance.

What kind of support can I expect if I encounter issues with Factorial?

Factorial provides customer support through multiple channels including live chat, email, and a resource library full of documentation and tutorials to help resolve issues.

Alternatives to Factorial

  • BambooHR: Often preferred for its emphasis on employee well-being and retention strategies. Its performance management system is notably more nuanced, making it better for companies focusing on employee development and growth.
  • Gusto: Stands out for its integrated payroll, benefits, and HR platform, particularly strong in handling payroll and tax compliance for small to medium-sized businesses looking for a comprehensive financial HR solution.
  • Zenefits: Offers a wider set of features for health insurance and benefits administration. It's a better match for companies that prioritize a comprehensive benefits package as part of their HR offering.

Factorial Company Overview & History

Factorial is an innovative HR software provider that specializes in streamlining human resource management for small to medium-sized businesses. A diverse array of companies across various industries, particularly startups and tech-focused firms, leverage Factorial to simplify their HR processes. It is a private company with its headquarters located in Barcelona, Spain.

The company's mission is to optimize HR operations, enabling businesses to make data-driven decisions and focus on people rather than paperwork. Since its inception, Factorial has achieved significant milestones, including substantial funding rounds and recognition for its user-friendly platform, and has attracted the attention of its expert team, including notable figures in the tech and HR sectors.


In summary, this Factorial review has walked you through the multifaceted aspects of what the software offers, from its intuitive design and comprehensive HR management features to its customer support and ease of use. While Factorial shines as a strong contender for small to medium-sized businesses seeking to streamline their HR tasks, larger enterprises or those needing highly customized solutions may need to weigh its features against their specific needs.

For those considering Factorial, it presents a user-friendly, robust option that warrants serious consideration. I encourage you to share your experiences or pose questions in the comments to foster a community-rich understanding of Factorial's fit for your business.

David Rice
By David Rice

David Rice is a long time journalist and editor who specializes in covering human resources and leadership topics. His career has seen him focus on a variety of industries for both print and digital publications in the United States and UK.