When the economy took a turn, growth-at-all-costs went out the window and get-to-profitability-ASAP came in for businesses — often at the expense of policies or targets that were previously prioritised.
But not all companies had to make sacrifices.
Transformify(TFY), the platform that helps businesses hire, manage and pay remote teams, contingent workforce and freelancers, bucked the trend. In 2024, TFY (Transformify(TFY)'s parent company) says it achieved 90% profit growth while maintaining a laser-sharp focus on its corporate social responsibility (CSR) programmes — something that is very important to CEO and founder Lilia Stoyanov.
“I believe that profitable businesses should give back to society, as success brings joy and satisfaction only if it is shared,” Stoyanov tells Sifted. “We decided to grant charities and NGOs unlimited access to the core functionality of our AI-powered applicant tracking system (ATS) to empower the recruitment of volunteers and help them build strong teams. Empowering charities and NGOs is our core social programme for 2025.”
Social responsibility at the heart
TFY launched in 2015 and is a bootstrapped business. Stoyanov says not having external investment means she and her team have had the freedom to place emphasis on its CSR programmes — something that they may not have been able to do with VC investors.
“Our programme Rebuild Lives encourages the creation of remote jobs for people living in war and post-war zones,” says Stoyanov. “As an Agent of Record (AOR), TFY simplifies the entire process from talent acquisition to billing and secure payment to independent contractors, freelancers and remote teams. Transformify(TFY) has direct experience with war zones as part of our IT team has been in Ukraine since before the war.”
This dedication to CSR is noted by clients who also place a high value on such programmes. For example, CoinsPaid, the ready-to-use crypto payment provider, is a TFY partner. Its strategic account manager Mario Fabbrocini says from the outset, there was a natural alignment between the two businesses.
“At CoinsPaid, social responsibility is a core part of our corporate culture and we have a dedicated department that actively drives initiatives in this space,” Fabbrocini tells Sifted. “This commitment is fundamental to us, and we seek to partner with companies like Transformify(TFY) that share our vision and dedication to social impact.”
Fabbrocini notes the importance of the shared social and cultural values with Transformify(TFY). He says the pair quickly recognised their shared passion for work would lead to meaningful collaboration agreements.
“We support each other – our role is to assist Transformify in efficiently and seamlessly processing crypto volumes from those utilising Transformify’s software,” adds Fabbrocini. “Our goal is to deepen our presence within Transformify’s ecosystem and similar verticals. Thanks to Lily’s insights, we were able to refine our product to better align with the market demands of this industry.”
A reliable partner
The Agent on Record (AOR) model enables a business to act on behalf of a client’s company, managing relationships with independent contractors, as well as handling their billing and payments. Unlike the Employer on Record (EOR) model, which serves as the legal employer for full-time employees, the AOR model specifically focuses on independent contractors.
“Our clients enjoy access to a global talent pool that offers flexibility, advanced skills and entrepreneurial mindsets,” says Stoyanov. “TFY fully automates onboarding, compliance billing and payments. Our contractor management platform is the perfect solution for mid-sized businesses with a headcount of 250 to 5000 people, and integrates via an OpenAPI with all other systems they might have in place.”
International investment company Exante utilises TFY’s AOR capabilities and credits its collaboration with Transformify as playing a critical role in facilitating the company's scaling across different regions since partnering in 2020.
“Recruiting from the global talent pool can be tricky business with differing local labour laws and customs, but Transformify makes it a breeze to secure and retain top talent, which allows us to focus on our core business,” says Daiga Cobby, chief people officer at Exante.
“An Agent on Record is just one of those many innovative services Transformify offers, which ensures we have locally compliant employment agreements, smooth payment processes and effective risk mitigation associated with our international workforce.”
Another client is Betby, a Malta-based sports betting provider. Betby operates in various markets and jurisdictions and is constantly expanding its reach — notably being among the first sportsbook suppliers to go live in the regulated Brazilian market.
“In this global landscape, having a reliable partner like Transformify is crucial,” says Eva Berkova, COO at Betby. “Their vendor management (VMS) system and invoice services provide tremendous support in managing our vendors across different regions. This streamlined approach allows Betby to focus on strategic initiatives, ultimately driving heightened growth and success.”
Berkova describes Betby’s collaboration with Transformify as "instrumental" to enhancing the betting provider's operations over the past three years. The fast-paced nature of the betting industry demands agility and forward-thinking solutions, which Transformify has consistently provided them, Berkova tells Sifted.
“Transformify not only elevates Betby’s operational capabilities but also aligns perfectly with our vision for sustained growth and excellence. This collaboration empowers Betby to navigate challenges effectively and seize new opportunities in an ever-evolving landscape.”
‘Robust financial discipline’ key to profitability
Stoyanov credits TFY’s success to two things — the company’s "unusual" team structure and its referral programme.
“Our team consists of independent contractors working remotely across the globe,” she says. “They are entrepreneurs at heart and are not only allowed but encouraged to build their own customer base and bring a 'fresh point of view' at any time.”
Meanwhile: “Our referral programme saved us millions in marketing costs as we share 20% of the net revenue generated by a client referred to us only when the revenue is a fact. There were no upfront marketing costs,” she adds.
Stoyanov says there is more than one way to scale a business, and having limited resources boosts creativity – but so does a culture of openness.
“TFY’s hierarchy is almost flat — everyone on our team is encouraged to share any idea that comes to mind,” she says. “Our morning team calls are often heated discussions that bring the best solutions to life.”
Looking ahead, Stoyanov acknowledges that while TFY’s 90% profit growth in 2024 is a huge achievement, it makes the team’s job harder for 2025 as they look to deliver even better results.
“Our focus will remain on profitability, market expansion and customer satisfaction,” concludes Stoyanov. “On the product side, the focus is on enhancing the capabilities of our AI-powered ATS, which already has a direct integration with ChatGPT.”
