Formalize, a fast-growing European compliance software company, has raised €30 million in Series B funding to accelerate its mission of becoming Europe’s leading governance, risk, and compliance platform. The round was co-led by Acton Capital and BlackFin Tech, with participation from West Hill Capital and CIBC Innovation Banking.
Formalize helps thousands of small and mid-sized enterprises streamline compliance with evolving EU regulations, including GDPR, NIS2, DORA, and ISO 27001. It’s an all-in-one platform that automates compliance workflows, consolidates requirements, and enables organizations to adapt quickly as new rules emerge.
The company has grown rapidly since its 2024 Series A and now supports more than 8,000 organizations, 850 consultancies, and law firms. In Spain, Formalize serves as the national whistleblowing authority, providing millions of employees with a secure channel to report concerns.
The new funding will support further product development, office openings in key markets like DACH and France, and continued hiring to strengthen local teams. Formalize’s AI-powered system aims to simplify complex governance and regulatory processes while maintaining robust security and regional expertise.
KEY QUOTES:
“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.”
Jakob Lilholm, Chief Executive Officer and Co-founder, Formalize
“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.”
Christian Jessen, Chief Financial Officer, Formalize
“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.”
Fritz Oidtmann, Managing Partner, Acton Capital
“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.”
Michele Foradori, Managing Director, BlackFin Capital Partners
