UKG Inc., a leading global AI platform for HR, pay, and workforce management, has entered into a definitive agreement to acquire Inova Payroll, a U.S.-based human capital management (HCM) and payroll services provider focused on small and mid-sized businesses (SMBs). The transaction, subject to customary closing conditions, is expected to close in early 2026.

The acquisition will strengthen UKG’s ability to directly serve the SMB market by expanding access to outsourced HR support, full benefits brokerage services, and enhanced compliance and workforce management capabilities.

Founded in Nashville, Tennessee, Inova Payroll supports more than 4,000 businesses nationwide. As the largest reseller of the UKG Ready® suite in the United States, Inova has built a strong reputation for combining robust HR technology with hands-on service expertise. Its offerings help SMBs streamline everyday HR tasks, navigate regulatory requirements, and improve employee experiences through targeted third-party technology integrations that reduce manual effort.

“Inova has been a trusted UKG Ready partner since 2007, helping thousands of small and mid-sized businesses level the playing field against larger competitors,” said Arlen Shenkman, president and chief financial officer at UKG. “By combining UKG’s technology and scale with Inova’s deep service expertise, we will be able to deliver best-in-class frontline employee experiences and even greater value to our SMB customers.”

For Inova, joining UKG represents an opportunity to extend its service-driven model to a broader audience. “This marks an exciting new chapter for Inova,” said Joe Schweppe, chief executive officer at Inova Payroll. “Our clients and team will benefit from direct access to enhanced product development and innovation, while UKG gains from our deep expertise in attracting and supporting small and mid-sized businesses. Together, we can further simplify how employers schedule, manage, engage, and inspire their people.”

Inova’s growth and customer satisfaction have been widely recognized. The company has appeared on the Inc. 5000 list of the fastest-growing private companies in the United States eight times - an achievement reached by fewer than 1% of honorees. Inova has also earned multiple awards from G2, reflecting strong customer satisfaction scores based on verified user feedback.

Once completed, the acquisition will further enhance UKG’s end-to-end capabilities for SMBs, combining advanced workforce technology with high-touch service to help organizations build productive, compliant, and engaging workplaces.

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