How does Mellow work?

Mellow is AI-native HR and payroll software built around a single record of each employee. It runs native payroll and local compliance across six countries — the UK, Ireland, the USA, the UAE, India and Australia — and handles absence, onboarding, pensions and documents in one place, with AI assistants that draft documents, answer questions and explain the figures Mellow computes from your data and the legislation. Accountants and payroll bureaus can use Mellow Practice to manage many client companies from one login. Pricing starts at £4 per employee per month, with a 14-day free trial.

Comparisons Global

Mellow vs Factorial: UK compliance compared

Mellow HR Team·2 min read

Factorial is a Barcelona-based HR platform that has expanded into the UK market. It offers HR management, payroll (in some markets), shift management, and recruitment. If you are evaluating Factorial for a UK business, the central question is the same one that applies to any European HR platform: does it handle UK-specific employment law and payroll requirements as well as a platform built for the UK market?

UK payroll

Factorial offers payroll in Spain. For UK customers, payroll is handled through integration with third-party UK payroll providers. It is not native UK payroll, and the integration requires managing two systems. Mellow includes full UK PAYE payroll natively — RTI, NI, statutory payments, student loan plans — with no third-party integration required.

ERA 2025

Factorial is not built around UK employment law. ERA 2025 compliance features, ACAS Code integration, right to work checks, DBS management — these are not the core of the Factorial product. Mellow was built specifically for UK employment law from day one.

Shift management

Factorial has solid shift management features, which perform well in hospitality and retail contexts. Mellow's shift management includes ERA 2025 shift cancellation compensation calculations and zero-hours worker tracking that goes beyond what a general European platform provides.

Price point

Factorial is priced accessibly for small and medium businesses. The pricing for the modules most relevant to UK employers — with integrations for UK payroll — can be comparable to Mellow's Professional tier. When you factor in the cost of the UK payroll integration separately, Mellow is typically better value.

The honest comparison

Factorial is a capable platform for businesses that operate primarily in Spain or other European markets. For UK-only businesses, the compliance gap and the absence of native UK payroll make it a weaker fit than a platform designed for UK employment law.

See best HR software for UK SMEs in 2026 for the market overview, and HR software with built-in payroll for why native payroll integration matters.

[See Mellow plans →](https://mellowhr.com/pricing)

Mellow vs FactorialFactorial alternativeUK HR softwareHR software comparison

Mellow vs Factorial: UK compliance compared

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