Lexroom.ai raises €2 million to transform legal research with vertical generative AI

Milan-based Lexroom.ai, an AI Tech scale up innovating the legal industry, has raised €2 million in Seed funding to accelerate product development and top talent recruitment, expanding aggressively into other markets.

The financing round was led by Belgian B2B SaaS investment firm Entourage. Other investors include Verve Ventures, Vento Ventures, Banyan Ventures, and X-Equity advised by FNDX, and angel investors such as Joe Zadeh, former VP of Product and Head of Experiences at Airbnb.

This follows a €500k pre-Seed capital injection after less than a year.

“Since our journey began at Vento Ventures’ venture originator in 2023, our vision has been to empower legal professionals by optimising their most valuable resource: time,”commented Paolo Fois, Co-founder & CEO of Lexroom.ai. “The arrival of investors like Entourage and Verve Ventures will allow us to grow our team and continue our dedication to​ service all professionals in the highly fragmented legal services market, aiming to become the go-to AI platform for law firms of all sizes.”

Founded in 2023 by Paolo Fois, Martina Domenicali, and Andrea Lonza, Lexroom.ai is an AI-driven legal research platform. Developed in partnership with top-tier law firms, the platform lets users pose legal questions to the AI. Results are presented as actionable responses or draft opinions, complete with citations and relevant sources.

The company’s platform offers advanced tools to streamline the stages of legal operations: from high-precision legal research and document analysis to automated drafting of legal briefs, contracts, and other documents.

Lexroom.ai looks to lead the digital transformation of the legal sector through partnerships with law firms such as Gatti Pavesi Bianchi Ludovici for corporate law, Ichino Brugnatelli & Associati for labor law, and WST Law & Tax Firm for tax law.

Since its launch, Lexroom.ai has scaled to about 1,500 professional users, including single legal practitioners and law firms, the large majority of which log in daily. It is rapidly reaching approximately €1 million in annual recurring revenue (ARR) with a team of 15 employees.

With the fresh capital injection, Lexroom.ai plans to double down on equipping all law firms with its product, including single professionals in the ‘long tail’ of the market, and become the most significant legal AI tech player in Southern Europe.

The startup plans to grow to 35 employees by year-end with more than 50% dedicated to product-related roles.

“Lexroom.ai is addressing a critical pain point for lawyers, rapidly becoming an indispensable tool for legal professionals,” said Pieterjan Bouten, Founder and GP at Entourage. “The speed at which Lexroom is scaling and the product usage metrics are a testament to the urgent need for its solutions and the strength of its execution. We are thrilled to support Lexroom’s exponential growth and witness its transformative impact on the legal sector.”

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