London-based compliance platform secures pre-seed funding to accelerate product development and European expansion
Karavel has secured £1.25m in pre-seed funding led by Fuel Ventures to transform how highly-regulated industries manage compliance workflows.
The AI-powered platform serves financial services, insurance, fintech, healthcare and consumer credit sectors. It replaces fragmented manual processes with an intelligent system that combines automated marketing reviews, real-time regulatory monitoring and gap analysis within a single interface.
Compliance is a sector ripe for innovation with AI due the repetitive nature of workflows and AI’s ability to identify potential issues much quicker than human workers.
Co-founders Pedro Sousa and Nav Garcha developed Karavel after experiencing compliance bottlenecks first-hand during their previous experience at companies including Revolut, Deliveroo, CNN and ClearScore.
They identified a persistent problem: compliance teams overwhelmed by expanding regulatory frameworks whilst relying on slow, manual methods to track rule changes and approve materials.
Karavel’s AdCheck technology enables financial promotion reviews to be completed three times faster, achieving a 91% first-pass approval rate. The platform’s horizon scanning tools deliver efficiency gains of up to fourteen times compared to manual processes, replacing bi-weekly reports with daily automated alerts.
The company says early adopters have reduced external legal spend by as much as 73% in the first year. The system analyses regulatory updates as they occur, flags relevant changes and provides actionable recommendations enabling immediate response.
Karavel have big plans for growth and the funding will accelerate product development and strengthen commercial expansion across the UK and Europe.