UK regulation tech startup ClauseMatch has landed $5 million in new funding led by Index Ventures with participation from Talis Capital, Speedinvest, and angel investors.
ClauseMatch is in the burgeoning field of regulation tech, or regtech, and has developed a solution for financial services and other sectors that automates compliance by managing huge swathes of documents and streamlining regulatory changes, creating an accessible audit trail.
The startup is currently participating in the UK Financial Conduct Authority’s regulatory sandbox to test its technology and previously took part in the Barclays Accelerator.
“Our goal is to create a compliance platform that is fully automated, smooth and effortless, that enables people responsible for compliance to be more proactive and strategic, and that increases full transparency and the state of compliance across the board,” said CEO Evgeny Likhoded. “Equally, we are aiming to bring regulators to the table so that both sides of financial services are connected.”
Jan Hammer, partner at lead investor Index, described the regulatory system as “broken”.
“Regulators don’t have a full view of how regulation impacts the industry, over-regulating as a result, whilst companies struggle to keep up and stay compliant,” he said. “We believe ClauseMatch can make the entire regulatory ecosystem function much better for both the regulated and the regulator, by providing new, simple to use tools replacing outdated document management and word processing software.”