Formality, the platform dedicated to intelligent contract management for clients and suppliers, has announced that it has raised €8 million. This first round was carried out with VC funds Partech and Serena, two major players in supporting high-potential tech startups. The round was completed with €2.4 million in funding from BPI, the Bank of Public Investment.
Formality was founded by a team of ‘repeat entrepreneurs’, led by the creators of TVTY, the startup specializing in measuring the impact of TV advertisements, which was successfully sold to Nielson (USA) in 2021.
With Formality, the team addresses a source of recurring frustration from their previous company: managing client and supplier contracts. A complex, often tedious task that is crucial to the financial health of a company.
Poor management of client contracts costs companies up to 9%* of their revenue, and on average, 60%** of supplier contracts are automatically renewed without any decision making.
Formality addresses these challenges with a platform that secures and automates contract management, centralizes key documents, and ensures real-time tracking of deadlines to avoid unwanted renewals and control costs. This solution eliminates risks associated with contract management and saves time for financial and legal teams to focus on the company’s strategic projects.
In just a few months, Formality has already won over clients such as Electra, Resilience, and Lifen. With this funding, Formality is planning to strengthen its sales team, accelerate the development of its technology, and prepare its expansion into the American market. The launch in the United States is planned for next year.
“We are convinced that Formality is going to transform the way companies manage their contracts, bringing efficiency, security, and simplicity to a process that is still too often complex and manual,” explained Eliot Reilhac, CEO and co-founder of Formality. “The support of both Partech and Serena is a sign of the confidence and strategic support which will allow us to realize our goals, particularly internationally”.
“Given our experience with the team when leading TVTY, it quickly seemed natural for us to invest in Formality,” commented Sébastien Le Roy, Partner at Serena. “For us, they are the team best suited to tackle this major priority for companies today: administrative burdens. Their ambition, combined with their ability to attract the best talent, positions them to become a technological champion.”
“For many medium sized companies, contract management is not only time consuming and repetitive but can also be costly when poorly managed. Formality addresses a crucial market need, by allowing these companies to focus on their core business,” added Phillippe Collombel, General Partner at Partech. “We are convinced that thanks to its SaaS product and unique features, Formality has the potential to establish itself as a market leader.”
Read the orginal article: https://www.eu-startups.com/2024/10/paris-based-formality-raises-e8-million-to-simplify-contract-management/
