Formalize Raises €30M to Continue Shaping the Future of Compliance Across Europe

Formalize, a rapidly scaling compliance software company, has raised €30 million in a Series B funding round to accelerate its mission of becoming Europe’s leading platform for governance, risk, and compliance. The round was co-led by Acton Capital (DE) and BlackFin Tech (FR), with participation from West Hill Capital and CIBC Innovation Banking. Across Europe, companies are navigating an increasingly complex landscape where regulation and risk go hand in hand. New requirements around data protection, cybersecurity, and reporting — such as GDPR, NIS2, DORA, and ISO 27001 — reflect a shift in how organisations are expected to manage information security and resilience. Formalize addresses this with a single platform that automates compliance workflows, consolidates requirements in one place and helps companies stay ahead of regulatory change.

“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, CEO and co-founder of Formalize

Growth journey across Europe

Since its inception, and strengthened by its Series A in 2024, Formalize has evolved into a trusted solution for more than 8,000 organisations and over 850 consultancies and law firms. A strong example of this traction is in Spain, where Formalize has been chosen as the national whistleblowing authority, giving millions of employees a secure channel to speak up. “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” says Formalize CFO, Christian Jessen.

Scaling towards European market leadership

The new funding will enable Formalize to strengthen its position as the go-to compliance operations platform in Europe and scale its presence in key markets such as DACH and France, opening new offices and growing local teams to support customers and partners on the ground. Investors see huge potential in Formalize’s mission: “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.” says Fritz Oidtmann, Managing Partner at 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.” says Michele Foradori, Managing Director at BlackFin Capital Partners.

About Formalize

Founded in 2021, Formalize is a compliance software company helping businesses navigate complex regulatory and risk requirements. From whistleblowing systems to advanced compliance management, its platform automates compliance processes for NIS2, DORA, Whistleblowing, ISO27001, GDPR and more. Formalize serves over 8,000 customers and has offices in Copenhagen, Aarhus, Madrid and Milan. The company has raised a total of €50M to date and counts more than 160 employees.

About BlackFin Capital Partners

BlackFin Capital Partners is an independent private equity and venture capital firm investing in European financial services and technology companies, with over €4.3bn in assets under management as of December 2024. Its venture team has backed 20+ of Europe’s fastest-growing fintech, insurtech, and regtech companies from Series A to Series C. Founded in 2009, BlackFin Capital Partners operates across offices in Paris, London, Frankfurt, Amsterdam, and Brussels.

About Acton Capital

Acton Capital is an international venture capital firm located in Munich and Vancouver. Since 1999, the team has invested in technology-based business models from Europe and North America. With over two decades of experience and a deep understanding of digital transformation, Acton Capital has already supported over 100 startups in building successful businesses.