The new face of Madrid: 10 startups defining the city’s entrepreneurial spirit | EU-Startups

Madrid, the vibrant capital of Spain, is a city where tradition meets modernity, and rich cultural heritage blends seamlessly with cutting-edge innovation. Known for its warm climate, iconic architecture, and bustling streets, Madrid has long been a political, cultural, and economic European centre. Over recent years, it has rapidly grown as a key centre for innovation and entrepreneurship.

This dynamic ecosystem is becoming a prominent force in the European tech landscape, fueled by government initiatives and an influx of talent, particularly from Latin America. A notable effort in this regard is the Madrid City Council’s “Bridges of Talent Program,” which promotes the exchange of innovative talent with Latin American countries. This supportive framework has made Madrid an increasingly attractive destination for entrepreneurs, driving a significant rise in venture capital investment.

Madrid’s startups span diverse sectors, from fintech and biotech to sustainable energy, all employing advanced AI and software solutions. As these companies grow and continue to attract top talent, they are poised to make substantial impacts locally and globally. In this article, we highlight 10 promising early-stage startups based in this thriving city after 2021 that are set to shape the future of innovation in 2025 and beyond.

Clevergy: This fast-growing startup empowers users to track and manage their energy consumption effectively. Founded by three engineers in 2021 they aimed to create a project with a positive impact. They believed that combining business, product, and technology would best deliver innovation to users. They have raised €2 million to develop an innovative app that works with marketers, facilitating the transformation of energy practices in homes, and enabling consumers to make informed decisions about their usage. The goal is to promote sustainability and enhance overall energy efficiency.

Cocoon Bioscience: Founded in 2021, this company leverages an innovative platform using insect cocoons to produce high-performance recombinant proteins and enzymes. Their method is more cost-effective and scalable than traditional bioreactors, allowing efficient production of complex proteins, especially growth factors and enzymes, for biotech and pharma applications. Their technology aims to address industry bottlenecks, accelerating research and manufacturing processes. Cocoon Biosciece has successfully raised €17 million. 

Correcto: This AI-driven writing assistant enhances Spanish writing by delivering real-time corrections for spelling, grammar, and punctuation. Established in 2021 and having raised €7 million, the innovative startup features text generation capabilities, enabling users to create a variety of documents with ease. The platform is designed to support users in improving their writing skills and producing polished content efficiently.

Embat: The fast-growing fintech company founded in 2021, specialises in automating treasury management for businesses. Their innovative platform centralises cash flow, forecasting, reporting, and payment processes, leveraging real-time banking connectivity and AI-driven accounting to simplify financial operations. This innovative approach provides CFOs and finance teams with greater efficiency, accuracy, and strategic insights. Embat’s growth has successfully raised €21.2 million to support its expansion across Spain, the UK, and Germany.

Galeneo Health: Launched in 2021, this innovative startup has raised a funding of €1 to transform the delivery of primary home healthcare. It emerged during the pandemic, out of a need to care for patients in a humane way. Galeno manages patients’ prescription needs more efficiently, supported by multidisciplinary teams that collaborate to provide comprehensive care. This innovative approach enhances the quality of healthcare services delivered at home, ensuring that patients receive timely and effective treatment tailored to their individual needs.

Luzia: Born in the streets of Madrid in 2021, Luzia has developed a distinctive AI-powered chatbot that integrates with WhatsApp. With their innovative software, the app allows users to transcribe audio messages and handle a variety of tasks. Having raised funding of €29.3 million, Luzia’s platform can answer questions, generate text, translate languages, and assist with creative writing, all within the WhatsApp interface. This versatile tool provides a streamlined experience for users, making information access and task completion quick and efficient

ONUM: Founded in 2021, ONLUM is a cloud-based platform that tracks and analyses the most important data for companies throughout the cycle, from collection to storage. This innovative solution enhances data visibility and security for organizations, streamlining their IT processes. Recently, Onum has successfully raised €37.4 million which allowed the company to speedy grow its team, further enhancing its capabilities in the data observability space.

Shakers: This innovative startup is revolutionising the freelance world. Founded in 2021, they enable companies to collaborate with full teams of freelancers, streamlining the process of assembling and managing skilled project teams for specific business needs. By facilitating access to curated freelance groups, Shakers allows companies to flexibly scale their workforce, bringing in specialized talent as needed for various projects. In recent years, the startup has successfully raised €7.8 million.

Viterbit: The fast-growing startup founded in 2021 has created an innovative platform that helps companies attract the best possible talent. This distinctive software AI-driven multi-channel recruitment app offers an automated candidate validation system to identify the best-suited digital profiles. Having raised funding of €1.6 million, the startup streamlines the hiring process, helping companies effectively source and evaluate talent in the digital landscape, ensuring a better match for their recruitment needs.

Xygeni: Founded in 2021, Xygeni provides robust security solutions for software development, focusing on Application Security Posture Management (ASPM) to secure the entire software supply chain. Their platform maps, priorities, and manages security risks across all development stages, protecting against vulnerabilities, malware, and configuration issues. Key features include real-time monitoring, open-source security, infrastructure as code (IaC) security, and anomaly detection, helping businesses maintain a secure development lifecycle. In recent years, Xygeni has successfully raised €4 million.

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