Newly Launched Startup RegScale Raises $1.5 Million to Help Clients with Compliance Automation

Business compliance icons.

RegScale, a compliance automation startup company, announced it raised $1.5 million in an early business funding round from Virginia Innovation Partnership Corporation, New Dominion Angels, and a group of other strategic investors.

Helping Customers Reduce Costs and Time

RegScale plans to leverage the new business funding to scale up and speed up innovation and mitigate possible risks. Moreover, the startup company plans to cut expenses for manual compliance documentation, Howerton added.

The raised capital will also help the Washington-based startup company to continue digitizing any regulatory environment through its “RegScale Continuous Compliance Automation” platform.

“Meeting compliance obligations has traditionally been a manual, time consuming, and expensive process. We are bringing the principles of DevOps to compliance to solve the most difficult compliance headaches that companies face and help them transition their manual, static compliance documentation and processes into a dynamic, automated, and collaborative platform,” said Travis Howerton, co-founder and CTO of RegScale.

Anil Karmel, co-founder and CEO of RegScale, said that the startup company helped its clients save up to half a million a year on their cyber insurance premiums. RegScale enables its business clients to handle more than 70 CMMC (Cybersecurity Maturity Model Certification) system security plans in just a couple of months.

Karmel also said that one of RegScale’s clients has managed to report the state of compliance in real-time in Tableau after it integrated the platform with As a result, the client was able to bring in cloud compliance results, allowing it to complete its compliance tasks and update the documentation in real time.

“The cybersecurity industry has been heavily focused on the concept of ‘shifting left’ security to make cybersecurity real-time, continuous, and complete, which positions compliance as the new bottleneck in the digital transformation process,” Howerton added.

Founded earlier this year, RegScale is working to bring automated and digital compliance solutions to heavily regulated markets. Companies continue to face hefty fines as they fail to meet strict regulations in this regard. RegScale’s platform helps those companies significantly reduce business costs and the time required for manual compliance methods.

Since it rolled out the platform earlier this year, RegScale’s “Community Edition” has been downloaded over 5,000 times. Moreover, the startup company has closed deals with five major customers for its “Enterprise Edition.” These include the US Air Force (USAF), the US Department of Homeland Security (DHS), a Fortune 500 company that provides financial services, as well as Johnson Controls Federal Systems.

RegScal’s clients are able to leverage other tax prep providers, such as TurboTax, allowing them to instantly generate compliance artifacts while accelerating approvals. The product enables stakeholders and data owners who engage in the compliance process to collaborate within a single platform, thereby significantly boosting productivity and reducing costs, the startup company said.

RegScale also runs an open source community that allows third-party collaborators to create additional integrations using the company’s platform.


RegScale, a startup company that develops a compliance automation platform, announced that it secured $1.5 million in an early business funding round. A group of investors, including Virginia Innovation Partnership Corporation and New Dominion Angels, took part in the early business funding round.

Adriaan Brits

An analyst of global affairs, Adriaan has an MSC from Oxford, with diverse interests in the digital economy, entertainment, and business. He is a specialist trainer in advanced analytics and media.

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