Ghent-based Karomia secures €2M to help companies streamline ESG reporting

Ghent-based Karomia, an AI-driven sustainability reporting platform, has secured €2M funding led by Entourage, imec.istart Future Fund & imec.istart Fund, to expand its AI-powered ESG reporting platform.

The Belgian company will use the investment to further refine its platform, making CSRD compliance even more accessible for companies of all sizes.

It includes the much smaller SMEs which are following the VSME standard. 

Beyond streamlining reporting, the company also plans to expand its solutions to help businesses develop robust sustainability strategies.

CSRD compliance can seem complex and time-consuming, especially as regulations constantly evolve.

“Our clients are often surprised to discover they already have much more CSRD information than they initially thought – it just needs to be extracted and organised,” says Simon Hiel, CTO of Karomia.

Karomia: AI-driven sustainability reporting platform

Founded in 2024 and led by Luc Machiels, Karomia automates the entire process, using AI to analyse a company’s data, fill the ESG report, and flag missing information.

The company’s AI-driven solution tackles two key challenges — managing vast data requirements and assessing sustainability impacts across the entire value chain.

Through streamlined compliance processes, the company helps businesses move beyond regulations to create real, lasting sustainability impact.

The platform reduces reporting time by 90 per cent, ensuring companies stay compliant without the usual complexity.

While other ESG reporting solutions take months to produce a CSRD-compliant report, the company delivers a near-final version in hours.

Jens Verhiest, COO of Karomia, explains, “ESG reporting doesn’t have to be complex in the age of AI. Our customers focus on what matters: prioritizing and executing their sustainability initiatives, while Karomia’s knowledge machine eliminates the bureaucracy of report writing.”

The platform is used by over 45 customers, from large enterprises to SMEs, across various industries with the Corporate Sustainability Reporting Directive (CSRD).

Partners like Mobius, PwC, and many others use the company’s platform in their consulting activities.

Luc Machiels, CEO of Karomia, explains,“It’s a fact of business: companies that prioritise sustainable practices and stay transparent are more competitive. Karomia delivers the technology that creates that transparency – without the bureaucracy.”