In today’s fast-paced business environment, Human Resource Management Systems (HRMS) have become indispensable for managing payroll, employee data, compliance, and other critical HR functions. For startups and MSMEs in India, choosing the right HRMS software is crucial—not just for operations, but for scaling efficiently.
This blog explores the best HRMS software in India, tailored to the unique needs of small businesses and startups. We’ll compare key players like TankhaPay, Keka, and greytHR to help you make an informed decision.
What is an HRMS?
A Human Resource Management System (HRMS) is a digital solution designed to streamline and automate human resource tasks such as payroll, attendance, recruitment, leave management, and compliance.
For startups and MSMEs, the right HRMS can save time, reduce errors, and ensure compliance with Indian labor laws. It empowers businesses to focus more on strategic growth rather than administrative tasks.
Why HRMS is Essential for Startups and MSMEs
- Automation of Routine Tasks
- Save hours of manual work every month.
- Compliance Management
- Stay up to date with EPFO, ESIC, TDS, and labor law compliance.
- Employee Self-Service Portals
- Empower employees to manage their information, leave, and documents.
- Data Centralization
- Store all employee-related data securely in one place.
- Scalability
- A good HRMS grows with your business.
Best HRMS Software in India (2025)
1. TankhaPay – HRMS + Service Model for MSMEs
Overview: TankhaPay is designed specifically for India’s informal and semi-formal workforce, offering a unique blend of HRMS software and managed services. Ideal for MSMEs, startups, and gig employers, TankhaPay handles everything from employee onboarding to compliance.
Key Features:
- End-to-end payroll processing
- ESIC, EPFO, and labor law compliance
- Onboarding and KYC verification
- Real-time salary disbursement
- Staffing and contractor workforce support
Why Choose TankhaPay:
- Combines tech + expert service
- Focused on small business needs
- Affordable pricing models
Best For: Startups, MSMEs, and businesses employing informal workers.
2. Keka – Modern HRMS for Growing Teams
Overview: Keka is a popular HR and payroll platform known for its modern UI and modular offerings. It’s best suited for growing startups that require a sleek interface and customizable tools.
Key Features:
- Payroll and expense management
- Attendance and leave tracking
- Performance reviews and goals
- Recruitment management
Why Choose Keka:
- Intuitive interface
- Strong performance management tools
Best For: Growing startups and mid-sized teams.
3. greytHR – Proven Platform with a Compliance Focus
Overview: greytHR is one of India’s oldest and most reliable HRMS platforms. It’s known for robust compliance management and detailed reporting.
Key Features:
- Statutory compliance
- Payroll and tax computation
- Document management
- Employee lifecycle tracking
Why Choose greytHR:
- Proven track record
- Reliable compliance features
Best For: Businesses that prioritize payroll accuracy and legal compliance.
Feature Comparison Table
| Feature | TankhaPay | Keka | greytHR |
|---|---|---|---|
| Payroll Automation | Yes | Yes | Yes |
| Compliance Support | Strong | Moderate | Strong |
| Employee Self-Service | Yes | Yes | Yes |
| Informal Workforce Support | Excellent | Limited | Limited |
| User Interface | Simple & Practical | Modern | Traditional |
| Staffing Support | Yes | No | No |
How to Choose the Right HRMS for Your Business
When choosing the best HRMS software in India for your startup or MSME, consider the following:
- Business Size & Growth Plans
- Compliance Needs
- Type of Workforce (formal/informal)
- Budget Constraints
- Customer Support & Training
Final Verdict
While all three platforms—TankhaPay, Keka, and greytHR—offer great features, your choice should depend on your specific business model.
- Choose TankhaPay if you need HR tech plus expert services, especially for informal or gig workers.
- Choose Keka if a sleek interface and performance tracking are a priority.
- Choose greytHR if statutory compliance and detailed payroll are key.
Conclusion
The best HRMS software in India is not one-size-fits-all. For startups and MSMEs, the decision often comes down to the balance between affordability, ease of use, and compliance reliability. TankhaPay stands out with its unique service model that goes beyond software, offering end-to-end payroll, compliance, and staffing support—making it a strong contender for businesses looking for a dependable and scalable solution in 2025.
Explore TankhaPay today and see how it can transform your HR and payroll operations.
