Three founders launched HR software unicorn Gusto – then their moms hit it off

Most startup origin stories start with the meeting of the cofounders.

But I’d argue these stories begin far earlier, with who those people were long before they met each other. Gusto cofounders Josh Reeves, Edward Kim, and Tomer London started the company together 12 years ago, and as the company has grown, an unexpected subsidiary has formed—the three cofounders’ mothers have grown incredibly close and become a crew in their own right.

With Mother’s Day approaching, the tale of these three cofounder moms seemed too good to pass up. I asked the company something unusual: Could I sit down and chat with the moms and their sons? The next thing I knew I was sitting outside of the Disney Museum in San Francisco’s Presidio, chatting with this multigenerational group of friends and cofounders (one of the moms, Irit London, was in Israel, so she joined via Zoom) for a story published on Fortune’s site today that I hope you’ll read.

The Gusto moms first met in 2014 when London was getting married in Israel. It was the first time the cofounders' entire families had spent time together. And over three days touring Israel crammed together in a bus, the moms hit it off. Since then, Sheena, Irit, and Eliana have gone on trips together that they tell me about with utter joy—jaunts to the Spanish island Tenerife and to Disneyland.

“We can really talk about anything and feel very accepted,” Irit says.

"I feel so grateful to just be here, be with you guys,” Eliana chimes in. “It's just such a beautiful feeling."

Yes, I’m aware that this all seems very cute. But the primary thing that’s cute here is this: This is, in fact, a group of loving moms who also love each other, who actually dance (wearing pink) to ABBA’s “Dancing Queen” together.

But lest you think such sentimentality means Gusto is not a serious business, consider that the HR and payroll software company generated north of $500 million in revenue in its 2023 fiscal year, and as Fortune can exclusively confirm, has been cash flow positive for multiple quarters in a row.

Gusto also has some very competitive, results-oriented investors, including General Catalyst, Fidelity, T Rowe Price, Franklin Templeton, and Dragoneer. After its latest funding round in January 2023, the company was valued at $9.5 billion.

In the complicated payroll business, known for its deluge of regulations and problems, Gusto has also proven itself to be a survivor, outlasting competitors formed around the same time.

It's not easy to quantify how much of Gusto’s resilience ties back to the founders’ attitudes about honoring values and to the influence and support of smart, loving moms—perhaps that's why such aspects are overlooked in the metrics-obsessed startup world. But if you look closely at some of the underlying themes that have contributed to Gusto’s success, it’s there.

Because who we were is who we are. And no one knows who you are better than your mom. Read the whole story here.

Happy Mother’s Day,

Allie Garfinkle
Twitter: @agarfinks
Email: alexandra.garfinkle@fortune.com
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This story was originally featured on Fortune.com