London-based Yonda Tax has raised €12 million in its first institutional funding round, positioning the young tax-automation company as one of the standout players in Europe’s increasingly active compliance-tech market.
The round was led by Kennet Partners, with additional funding from NYO Capital and Portfolio Ventures. Yonda Tax plans to use the capital to scale operations, extend coverage into new tax jurisdictions, and build out product functionality for businesses navigating cross-border tax obligations.
Founded in 2022, Yonda Tax automates indirect-tax compliance—from registration to filing and remittance—for companies operating across borders. Its platform supports VAT, GST and Sales Tax filings, enabling fast-growing firms to stay compliant as regulations shift across regions. The startup says more than 350 businesses now rely on its service, ranging from eCommerce brands using Shopify to rapidly scaling SaaS and AI companies. Roughly 60% of its clients are based in the United States, with growing adoption in the UK, Australia, Canada and Singapore.
Co-founder Gareth Kobrin said the company was born out of frustration with how international tax stalls startups. “We started Yonda after seeing founders do everything right, yet still get tripped up by the nightmare of international tax,” he noted. “So we built Yonda as the partner we wish they’d always had, leveraging decades of accountancy expertise to create a personal, highly accurate technology that takes tax off their plate so they can focus on building.”
The raise comes amid a steady flow of investment into European tax and compliance automation. In early 2025, Spain’s TaxDown secured €4 million for its AI-driven tax-return platform, while Germany recorded several early-stage developments: AnyTax raised €1 million to modernize embedded tax infrastructure; Steuerboard landed €725,000 for workflow automation; Integral grew its total funding to €12 million through acquisition; and Kabilio added €4 million to expand its AI-enabled accounting and tax tools. Together, these rounds represent around €21.7 million in adjacent funding—momentum that underscores demand for more efficient, accurate tax technologies across the region.
Against this backdrop, Yonda Tax’s €12 million raise stands out as one of the largest allocations specifically targeting cross-border indirect-tax automation. Kennet Partners Managing Director Hillel Zidel said Yonda’s “tax-first, tech-second” approach differentiates it from competitors. “Yonda Tax is an exceptionally promising business, combining a clear market need with an experienced team and a product that solves a complex global challenge,” he said. “That combination breeds accuracy and trust, and it’s why we are proud to be their first institutional investor and to support their next stage of global expansion.”
Yonda reports more than 100% year-on-year growth, with headcount more than doubling in the past 12 months as customer demand accelerates. The company also emphasizes its pricing model as a competitive edge: rather than charging variable fees tied to transaction volume or mandating annual contracts that scale with growth, Yonda offers a fixed monthly subscription based on the number of regions a client files in.
For Kobrin, the funding marks both validation and an inflection point. “After years of bootstrapping, working with Kennet has been a natural fit from the start and validates all the hard work we’ve achieved,” he said. “We are incredibly excited to be able to support even more of the world’s most promising young companies.”
As startups and digital businesses continue expanding globally, the operational weight of tax compliance is only growing. Yonda is betting that a blend of automation and deep tax expertise will give scaling companies the confidence to pursue new markets without risking regulatory missteps.
