MELP, an acronym for Medical Services, Employee Benefits, Lifestyle and Longevity, and Protection is a start-up in Vilnius that is developing a digital employee well-being management platform, and has attracted investment of 635,000 euros to expand internationally. The new year had just begun when news of the first major funding announcement of 2024 in emerging Europe came out on January 3. The early seed stage funding comes from Vilnius-based venture capital fund, Coinvest Capital, as well as business partners in Lithuania and the UK.
Founded in 2022 by Vidmantas Šiugždinis, Robertas Šaltis, and Juozas Sargūnas, MELP offers an easy-to-use digital tool to personalize employee benefits for large and small businesses.
“Employee retention is a growing concern globally, so we offer companies a tool to help employers take care of their employees, thereby fostering increased engagement and loyalty,” says Sargūnas, MELP’s CEO. “We believe that in the future, companies will increasingly use personalized solutions when dealing with people, allowing their team members to choose what motivates them personally and helps in their daily lives.”
There is certainly a great deal of potential in the sector, according to HTF Market Intelligence. The global employee benefits industry is said to be worth more than 70 billion US dollars by 2029. The MELP platform has experienced successful growth in the Baltic countries since its launch and is now poised for expansion into international markets. The platform is currently used by more than 16,000 employees.
“Employers just need to decide what value or category of benefits they want to give to their employees – their team members can choose the specific services or supplier,” says Šiugždinis.
“For corporate HR departments, our the platform facilitates convenient management of rewards, creation of recognition programmes, improvement in internal communication, and employee engagement. While the platform is most popular among medium and large organizations with over 250 employees, it has potential for universal applicability, serving clients ranging from a few dozen employees to several thousand.
According to Viktorija Trimbel, managing director at Coinvest Capital, the extensive business experience of MELP’s founders in navigating different markets and managing crises with large teams is a key driver of the company’s success.
“Their diverse perspectives on employee motivation systems have made the MELP platform popular in Lithuania and abroad. I’m confident that the investment will boost the platform’s profile and help it grow in foreign markets,” she says.
