Denki Raises $4.1M To Automate Financial Audits with AI

San Francisco-based Denki was founded in 2025 by brothers Felipe Jin Li, 24, and David Jin Li, 20. The duo aims to modernize the evidence-heavy and manual processes of financial audits by transforming them into a more automated, code-like workflow. The company was part of Y Combinator's Fall 2025 cohort. The $4.1 million funding round was co-led by Base10 Partners and Shine Capital, with participation from Y Combinator and 20VC. Denki is currently a two-person company and plans to use the new capital to hire engineers and auditors. Felipe Jin Li, the CEO, previously worked at McKinsey and was a Ph.D. researcher in Explainable AI at University College London. David Jin Li studied computer science at Imperial College London and has experience building financial data pipelines at Macro Hive, a research firm utilized by top hedge funds. Denki's platform is designed to integrate with existing systems like Auditboard, Workiva, and various ERPs. It features AI agents that help maintain a current inventory of controls, validate them in real-time to flag issues early, and consolidate financial data into a unified audit trail. The startup is targeting a crucial issue in the auditing world, as auditors often spend the majority of their time on manual tasks like collecting evidence and matching documents. This leaves little time for the high-level analysis and risk assessment that require their expertise. The problem is compounded by a talent shortage, with a large percentage of CPAs expected to retire in the coming decade. The raise is part of a larger trend of increased venture capital funding for fintech startups, especially those incorporating AI. In 2025, global funding for VC-backed fintech startups reached $52.9 billion, a 27% increase from the previous year. Y Combinator was the most active investor in the space in 2025, participating in 151 fintech startup deals.