Tallinn’s one-person business administration and compliance platform Xolo (previously known as LeapIn) has raised an additional €3 million. This funding follows a €6 million Series A round in July of 2019, bringing the total capital raised to €11.2 million. Xolo’s investors include Karma Ventures and Vendep Capital. as well as angel investors Wise co-founder Taavet Hinrikus, Skype co-founder Jaan Tallinn’s Metaplanet Holdings, and former LexisNexis CEO Andrew Prozes.
Founded in 2015 by Avo Alender, Erik Mell, Erko Hansar, and Urmo Pärg, Xolo helps micro-businesses get set up and running in a matter of minutes. The platform includes just about everything a solopreneur would need: banking, invoicing, taxation, and compliance.
Needless to say, a global pandemic has seen Xolo’s business shoot through the roof as single-person businesses have shot up faster than a patch of weeds. The company supports over 75,000 solopreneurs in over 200 countries and is generating an ARR of €4 million.
Back in the days of LeapIn, and for the beginning of its life as Xolo, the company has focused on location-independent, often ex-pats, and nomadic freelancers. With today’s launch of services in Spain, specifically targeting sole traders, the company is taking on the ambitious goal of becoming the invoicing and compliance platform of choice among freelancers and sole traders worldwide.
“There are more than 40 million independent knowledge workers around the world. The growth of that number has accelerated during the pandemic,” comments CEO Allan Martinson. “Also, we have seen that they are actually doing better than before the pandemic. Average billing of a Xolo customer has increased 29% in a year”.
“Xolo’s impressive growth is evidence of strong market demand for smarter, seamless, and more flexible solutions for the micro-business segment. The investments in attracting top talent to Xolo as well as expanding the product portfolio not only demonstrate their expertise in the field but also underline their ambitions to be an increasingly important part of the micro business economy in Europe,” concludes Karma Ventures’ Margus Uudam.