Denmark-based Formalize (formerly Whistleblower Software), a compliance operations platform designed to streamline compliance workflows and automate processes for various frameworks and regulations, secures €15M in a Series A round of funding.
The proceeds will help the company to establish itself as Europe’s premier compliance software provider.
Formalize, currently with 90 employees in Aarhus, Copenhagen, and Madrid, is expanding to Milan this year and aims to nearly double its workforce.
Formalize founder, Jakob Lilholm says, “We are delighted to close our round with an investor who shares our ambition to become the leading compliance software provider in Europe. The demand for a tool to simplify compliance work has never been bigger, and it will continue to increase.”
Investor supporting Formalize
The investment was led by BlackFin Tech, the venture part of BlackFin Capital Partners.
BlackFin, an investment firm specialising in financial services and compliance technology, manages assets of over €3.5B. It has supported over 20 companies, with a focus on fintechs, regtechs, and insurtechs across Europe, spanning from Series A to Series C funding rounds.
Michele Foradori, Investment Director at BlackFin, says, “With the increased demands being placed on organisations across the EU, the potential to automate compliance processes and reporting is huge.”
“Formalize has proven with its whistleblower software that they can create a user-friendly and market-leading product, bringing every professional closer to a work life where they can save time while always staying on top of compliance and regulatory requirements.”
Founded in 2009, BlackFin Capital Partners operates from offices in Paris, Frankfurt, Amsterdam, Brussels, and London.
Formalize’s whistleblower platform
Formalize addresses the EU’s challenging compliance landscape by introducing a data compliance platform, aiming to simplify complexities for businesses.
Founder Lilholm says, “Due to the increased data compliance regulations from the EU, the standard approach to compliance is no longer sustainable.”
“By automating large parts of the compliance processes, Formalize can help companies ease the work without compromising security and the ability to customise the platform to the company’s specific needs.”
Until now, Formalize predominantly consisted of the whistleblower platform, now known as ‘Whistleblower Software by Formalize’. Currently, the platform is accessible to over five million employees globally and is embraced by more than 500 consultancies, including PwC, Bird&Bird, and Baker McKenzie.
Since its last funding in November 2022, the company claims to have witnessed a fivefold increase in annual recurring revenue and expanded its workforce from 20 to 90 employees.
In its strategic vision, Formalize aims to become Europe’s leading compliance software provider by broadening its portfolio to include the data compliance space.
The new platform automates processes for GDPR, NIS2, ISO27001, SOC2, and more. The company rebranded in 2024.
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