TaxScouts, the London-based fintech platform that helps individuals has announced raising £5 million in Series A funding as it plans the expansion in the EU region. Octopus Ventures is leading the latest financing with support from Clocktower Technology Ventures along with the existing backers, SpeedInvest, Seedcamp, and Finch Capital. Before this round, TaxScouts had picked £1.2 million in seed fundraising in January last year from Speedinvest. The current financing takes the total amount raised by the company to £6.5 million.
The firm was founded by Dan Karger, Kaupo Kõrv, and Mart Abramov in 2017 with an aim of making a platform that is a combination of automation and a network of human accountants that help the professionals file their tax. The firm has established itself really well in the U.K and hence it now targets the entire EU region for expansion. The company is beginning the plan by launching the platform in Spain.
Mart Abramov, the CEO of the firm commenting on the launch in Spain said, “We see a huge amount of potential in launching TaxScouts into Spain. Naturally, the weather and the wine were considered when picking the market, but having successfully built a solution for one of the trickiest tax systems in Europe, we are confident that we can deliver another great product for Spain’s complex tax structure. The market is double that of the UK, and this is the first step to us building a Pan-European tax service."
The firm claims to have grown 5X year-on-year since its launch and by the next year, it says that it will have tens of thousands of users using the platform for filing taxes.
Octopus Ventures' investment manager Nick Sando talking about the financing said that "We all know tax can be a nightmare, and for many, it can fill us with a sense of dread. It’s one of those things we know we have to do, but we don’t rush to do. TaxScouts changes this. What seems like a difficult task for an individual, becomes quick and easy. Having seen the success of TaxScouts and the potential for this to be replicated in other markets with complex tax systems, we see a huge potential for one service that works for everyone.”
It will be interesting to see if TaxScoutes can achieve similar success in the other European region as it has in the U.K. The current investment has arrived at a perfect time for them.
Image courtesy: taxscouts.com