Formalize has secured €30m in Series B funding to accelerate its mission of becoming the continent’s leading GRC platform.
The investment round was co-led by Acton Capital from Germany and BlackFin Tech from France, with additional participation from West Hill Capital and CIBC Innovation Banking.
Formalize provides a unified platform that automates and streamlines compliance for small and mid-sized enterprises (SMEs) across Europe. It helps organisations manage the growing number of regulations such as GDPR, NIS2, DORA, and ISO 27001 by consolidating compliance requirements, automating workflows, and improving visibility over information security and risk management.
The newly raised capital will be used to expand Formalize’s operations across Europe, with a particular focus on scaling in key markets including DACH and France. The company plans to open new offices, grow its local teams, and strengthen partnerships with law firms and consultancies to better support clients navigating complex regulatory environments.
Formalize has already built strong traction across the region, with its platform now serving more than 8,000 organisations and over 850 consultancies and law firms. In Spain, the company has been selected as the national whistleblowing authority, providing millions of employees with a secure channel to report concerns — a testament to its credibility and reach.
Formalize CEO and co-founder Jakob Lilholm said, “Compliance is no longer optional; it’s essential for doing business. At Formalize, we’re building a future where automation and AI simplify GRC for European SMBs without ever compromising on security or the local expertise that defines us. Our ability to scale and deliver value to thousands of companies places us at the forefront of Europe’s regulatory landscape.”
Formalize CFO Christian Jessen said, “This funding round reflects the strong momentum Formalize has built across Europe and the confidence investors have in our execution. We’ve shown that compliance is mission-critical for businesses of all sizes, and this capital allows us to continue scaling with discipline, strengthening our product and expanding our European footprint.”
Acton Capital managing partner Fritz Oidtmann said, “It’s increasingly hard for small and mid-sized companies in the EU to handle all the requirements imposed on them by regulation. Formalize has impressed us with a superior solution that allows companies to have all processes and data required fully under control. No other solution we looked at got even close to Formalize’s capability to capture the particularities of all countries and industries while keeping the solution easy to handle.”
BlackFin Capital Partners managing director Michele Foradori said, “At BlackFin, we are more and more convinced that Formalize has assembled the right product and team to own SME compliance in Europe, turning GDPR, NIS2, and DORA into simple, scalable workflows. With stellar growth and AI accelerating adoption, they are in the perfect spot to convert regulatory burden into a competitive advantage.”
Formalize’s latest funding builds on its Series A round completed in 2024, marking a significant milestone in its growth journey as it continues to expand its presence and reinforce its leadership in the European RegTech market.
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