Taxdoo, a Hamburg, Germany-based developer of an API platform that automates international VAT compliance for online retailers and other companies, raised seed financing from High-Tech Gründerfonds (HTGF).
The amount of the deal was not disclosed.
The company will use the funding to expand its team and further develop its technological platform and internationalize its customer base in 2018.
Started out as an EXIST project at the University of Hamburg (Chair of Banking & Behavioral Finance, Prof. Nöth) in April 2016 by Dr. Matthias Allmendinger, Roger Gothmann and Dr. Christian Königsheim, Taxdoo has devised a system that automatically collects data from marketplaces, online shops and ERP systems and processes it in line with international VAT regulations. All relevant data is collected daily and monitored continuously. It is submitted to the respective financial authorities through an international network of VAT experts. The data can then be transferred into financial accounting systems. A flexible API platform enables external developers to incorporate their own data sources and integrate individual Taxdoo products into their own solutions.
Moving forward, larger companies from a range of industries shall also be able to manage their VAT compliance activities via the platform.
The company commenced operations in early 2017 and its revenues are already in six-figure territory.