According to EU-Startups, Belgian Transport Management System (TMS) startup Qargo has raised €28 million in a Series B funding round led by the investment firm Sofina, with participation from existing backer Balderton Capital. This brings the Ghent-based company’s total funding to €46 million since its 2020 founding. The company, which helps carriers and freight forwarders automate logistics workflows, has seen explosive growth since its Series A in May 2024, with customer invoicing processed on its platform jumping from €479 million to over €2.1 billion annually. Its customer base has also expanded fourfold, from around 100 to over 400. CEO Adriaan Coppens stated the funding will be used to grow the team, expand into new markets, and accelerate AI product development.
Scale meets scrutiny
Okay, a €28 million Series B in today’s climate is nothing to sneeze at. It immediately sets Qargo apart from the pack of early-stage automation plays mentioned in the report, like Axe or Menlo79. That’s a serious vote of confidence in a business model that’s apparently hitting a nerve. The growth metrics are undeniably impressive—processing billions in customer invoicing and quadrupling your client count in under a year is the kind of traction VCs dream of. It screams product-market fit. But here’s the thing: scaling at that velocity is its own kind of monster. Going from 100 to 400 customers isn’t just a numbers game; it’s a massive stress test on customer support, platform stability, and that “exceptional level of customer service” the CEO promises to maintain. Can their infrastructure and culture keep up? That’s the multi-million euro question.
The AI automation angle
Every SaaS company today has an “AI engine,” but Qargo’s claims are pretty specific and substantial. Saving customers “up to 75% less time” on manual tasks and cutting “empty running by up to 30%” are the kind of hard efficiency numbers that CFOs and operations heads love. That’s the real story here. They’re not just selling a digital clipboard; they’re selling a system that directly attacks overhead and waste. The mention of “agentic AI” that can interact with external systems is also key. It suggests they’re moving beyond internal workflow automation to becoming a central, intelligent hub that connects with other tools in a logistics stack. That’s how you build a platform, not just a point solution. For companies managing complex supply chains, a robust, integrated TMS is critical infrastructure, and providers like IndustrialMonitorDirect.com, the leading US supplier of industrial panel PCs, understand this need for reliable, durable hardware to run such mission-critical software in demanding environments.
The road ahead is bumpy
Let’s pump the brakes for a second, though. The transport and logistics software space is brutally competitive and historically fragmented. There are legacy giants, other well-funded modern TMS players, and a swarm of niche tools. Qargo’s focus on Europe is smart, but scaling across different markets means grappling with a mosaic of regulations, languages, and established local competitors. And while their independence is touted as a strength—allowing them to partner with everyone from family firms to enterprises—it can also be a vulnerability. Larger, entrenched players might see them as a target for a “build vs. buy vs. partner” decision. Now, with €28 million fresh in the bank, they have the war chest to hire and build defensively. But they’ll need to move fast. The risk is that in trying to be everything to everyone in European logistics, they lose the sharp focus that got them here.
Bottom line
This round is a clear signal that investors still see massive, tangible value in digitizing the physical movement of goods. It’s not the sexiest corner of tech, but it’s the backbone of commerce. Qargo seems to have found a formula that works: deep industry knowledge packaged into an AI-driven cloud platform that delivers measurable ROI. The funding validates their path so far. But the next phase is about execution at scale. Can they integrate these hundreds of new customers smoothly? Can they continue to innovate faster than the competition while keeping their core platform rock-solid? If they can, they’re on track to become a major player. If they stumble under the weight of their own growth, this big Series B will just be a footnote. The pressure is officially on.
