Cobalt has advised Karma Ventures on a series A round investment in Estonia's Xolo. Eversheds Sutherland Ots & Co advised Xolo on the deal.
Vendep Capital in Finland and Leap Ventures in France also participated in the round.
Xolo, which operated before as LeapIN Business Services OU, helps users set up independent businesses and operate them virtually in Europe. The company takes care of business banking, accounting, and compliance. According to Cobalt, "Xolo helps remove the barriers for people looking to start a one-person business by providing a simple-to-use platform and advisory service which helps take care of financial and legal factors associated with setting up a business." Xolo is part of the Estonian e-Residency program that enables new micro-businesses to enter the market.
With USD 6.8 million financing secured, Xolo, formerly known as LeapIN, will now offer two products: Xolo Go and Xolo Leap. Xolo Go will allow users to launch a freelancing business in minutes as a virtual company, with a dedicated bank account, invoicing, expense management, and payouts. Xolo Leap allows users to launch an EU-registered company with full banking service, accounting, and tax compliance.
Vendep Capital invests primarily in Finnish early-stage B2B software companies.
Leap Ventures is a tech-focused entrepreneur-led venture capital firm that operates in MENA and Europe.
Karma Ventures is an early-stage venture capital firm, specialized in late seed and A round investments in European tech startups.
Cobalt's team consisted of Partner Kristel Raidla-Talur, Senior Associate Greete-Kristiine Kuru, and Associate Sven Bottcher.
The Eversheds Sutherland Ots & Co team was led by Partner Maivi Ots and assisted by Legal Counsel Marten Amjarv.
Cobalt has previously advised Karma Ventures on investments in Infermedica (as reported by CEE Legal Matters on June 17, 2019), Realeyes (as reported on May 29, 2018), AppGyver, Plumbr, SpectX, Adaptive Simulations, Minut, Inc., Sonarworks, CGTrader, and MeetFrank.