Cleo Labs raises €1.5M to build AI platform for global product compliance

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Cleo Labs raises €1.5M to build AI platform for global product compliance
© Cleo Labs

Cleo Labs, a regulatory technology startup focused on product compliance, has raised €1.5 million in new funding to accelerate development of its AI-powered platform for managing international regulations.

The round was led by Larry Berger, with participation from Kima Ventures, Financière Saint-James, and several European tech ecosystem investors. The financing also included a scout investment from Accel.

What The Company Does

Founded in 2023 by Naomie Halioua and Anaëlle Guez, Cleo Labs helps companies manage product regulatory compliance across multiple international markets. Its platform is designed to automate the monitoring, interpretation, and execution of compliance requirements that often vary by country, product category, and distribution channel.

The company focuses on helping businesses identify non-compliance risks before products reach market. This includes requirements linked to certifications, labeling, material standards, customs documentation, and other legal obligations.

For global manufacturers and retailers, a single product can be subject to hundreds of regulatory rules. Cleo Labs uses AI to reduce the manual workload associated with tracking these obligations and to improve reliability in compliance workflows.

The company already counts clients such as Decathlon and Electrolux Professional.

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Market Context / Industry Background

As supply chains become more global and product regulations more complex, compliance management has become a growing operational challenge for manufacturers, consumer brands, and distributors. Requirements are frequently updated and can differ significantly across regions, making manual management increasingly inefficient.

Non-compliance can lead to costly recalls, shipment delays, blocked customs entries, legal penalties, and reputational damage. Despite these risks, many businesses still rely on spreadsheets, fragmented systems, or manual legal review processes.

This creates a strong opportunity for RegTech platforms that can automate regulatory intelligence and turn compliance from a reactive cost centre into a strategic function. Europe is a particularly active market due to strict product standards and cross-border trade complexity, while the US remains a major long-term expansion opportunity.

Companies are also increasingly looking for tools that integrate directly with sourcing, ERP, and product lifecycle systems, allowing compliance checks to happen earlier in the product development process. This helps reduce delays, improve visibility, and lower operational risk across international supply chains.

Founder Commentary

Co-founder Naomie Halioua said the company wants to reposition compliance as a business advantage rather than an administrative burden.

“Our ambition is to transform regulatory compliance, currently seen as a constraint, into a strategic lever for companies. Thanks to AI, it becomes possible to anticipate rather than react,” she said.

Co-founder Anaëlle Guez added that many teams still spend significant time reviewing regulations manually with outdated tools.

“Today, teams still spend considerable time manually analysing complex and evolving regulations, often using spreadsheets or inadequate tools. With Cleo, we enable them to gain speed, reliability, and processing capacity by automating these processes at scale,” she said.

Growth Plans / Use Of Funds

Cleo Labs plans to use the new capital to accelerate product development and strengthen the capabilities of its AI compliance platform. This includes expanding feature sets, improving automation workflows, and increasing the platform’s ability to handle complex multi-market regulations.

The company will also use the funding to grow commercially across Europe, which it views as its primary strategic market. At the same time, Cleo Labs is preparing the groundwork for international expansion, with the United States identified as a future priority market.

As regulatory complexity continues to rise, the company is positioning itself as an infrastructure layer for businesses selling products globally.

About Cleo Labs

Cleo Labs is a Paris-based RegTech startup founded in 2023 that helps companies automate international product compliance. Its AI-powered platform enables businesses to monitor regulations, identify non-compliance risks, and manage requirements across multiple markets. Cleo Labs focuses on making regulatory operations faster, more reliable, and more scalable for global product companies.

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