mika raises €6M to make tax advisers optional for German small businesses
What's the deal? Berlin-based mika has raised €6 million in an early-stage round led by Smedvig VenturesDealroom has a profile for this one. Try Dealroom → to build AI that lets Germany's small businesses handle tax compliance without an adviser. The round drew Basel family office Wecken & Cie.Dealroom has a profile for this one. Try Dealroom → through its Care4 AGDealroom has a profile for this one. Try Dealroom → vehicle, studiVZDealroom has a profile for this one. Try Dealroom → co-founders Dennis BemmannDealroom has a profile for this one. Try Dealroom → and Michael BrehmDealroom has a profile for this one. Try Dealroom →, limangoDealroom has a profile for this one. Try Dealroom → founder Johannes DitterichDealroom has a profile for this one. Try Dealroom →, and encourageventuresDealroom has a profile for this one. Try Dealroom →' Martina PfeiferDealroom has a profile for this one. Try Dealroom →. Existing backers Keen Venture PartnersDealroom has a profile for this one. Try Dealroom → and Dutch Founders FundDealroom has a profile for this one. Try Dealroom → increased their stakes.
By the numbers: Combined with mika's €800,000 pre-seed in June 2024, the round brings disclosed funding to roughly €6.8 million. The company now serves more than 800 small firms, up from 750 a month ago, and passed €1 million in annualised revenue this summer.
Why now? Germany has close to a million small incorporated companies, mostly GmbHs and the smaller UG, and all are legally required to keep books, file VAT returns, and produce annual accounts. The country's accounting, bookkeeping, and auditing industry is valued at €53.8 billion this year.
What's the endgame? mika runs on three AI systems: an AI general ledger, a customer-facing app, and an internal co-pilot for accountants called mika Desk. The setup lets one accountant serve about 300 clients, combining generative AI, deterministic models, and a human in the loop.
What's the strategy? mika is betting on depth over breadth. "Right now the mode is to be extremely focused on one very complex regulation. So we focus on Germany, but on being a completely autonomous tax tool," says founder and chief executive Agnieszka Walorska.
Walorska was employee number seven at studiVZ, which sold for €85 million, before founding and later closing family-fintech PANQDealroom has a profile for this one. Try Dealroom →. She then built consultancy Creative ConstructionDealroom has a profile for this one. Try Dealroom →, acquired by Capco.
What could go wrong? mika faces a crowded field. Integral, also launched in 2024, has raised more than €30 million; Munich's FintoDealroom has a profile for this one. Try Dealroom →, backed by Y Combinator, targets enterprises via SAP and DATEV; Candis has raised about $30 million on accounts-payable automation; and Accountable, with close to $19 million, serves freelancers.
The signal: mika's edge is selling directly to small businesses rather than the advisers who serve them. "The small businesses have the problem immediately, and they see AI as a way of reducing" it, Walorska says — a bet that regulation-heavy, single-market focus can outpace rivals building broader tools.
Read more: Tech Funding News
Image credit: Mika
