TaxScouts raises £5 million
TaxScouts, the U.K. tax preparation startup founded by TransferWise and MarketInvoice alumni, has raised £5 million in Series A funding led by Octopus Ventures with participation from SpeedInvest, Seedcamp, Finch Capital, and US venture capital firm Clocktower Technology Ventures.
Founded in 2017, TaxScouts features an online service where people answer a few questions about their tax needs and after uploading relevant documents, a professional accountant is assigned to the task. The startup promises a flat £119 fee, no matter how complicated the case is.
Since launching in January 2018, TaxScouts has grown 5X year over year. The startup expects to file tens of thousands of tax returns over the next year and is scaling up its partner network with more accountants around the UK. In addition, it is preparing to launch its service in Spain.
“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. We will build the go-to solution for anyone across Europe to easily file their tax return regardless of its complexity. This investment will enable us to quickly scale up a team to support our new Country Manager in Madrid, and launch other new products in the UK.” – Mart Abramov, cofounder and CEO of TaxScouts.
“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.” – Nick Sando, Investment Manager at Octopus Ventures.