Dext

AI-powered bookkeeping data capture and expense management for accountants

Pennylane

French AI accounting platform connecting SMEs and accountants in real time

Dext

Strong

18/25

Pennylane

Excellent

22/25

Score Breakdown

DimensionDextPennylane

Data Residency

Where is your data stored and processed?

Dext: Data hosted in UK and EU infrastructure. UK incorporation provides strong data residency baseline for British businesses. EU adequacy decision covers UK-EU transfers. No US data processing.

Pennylane: Financial data hosted in France on EU infrastructure with no cross-border transfers outside the EU.

4/5

Data hosted in UK and EU infrastructure. UK incorporation provides strong data residency baseline for British businesses. EU adequacy decision covers UK-EU transfers. No US data processing.

5/5

Financial data hosted in France on EU infrastructure with no cross-border transfers outside the EU.

Legal Jurisdiction

Which laws govern the company and your data?

Dext: Incorporated in England and Wales under UK law. Regulated by ICO under UK GDPR. UK jurisdiction with no CLOUD Act exposure. EU-UK adequacy decision permits data flows for EU customers.

Pennylane: French SAS incorporated and operating under French and EU law; directly subject to CNIL enforcement.

4/5

Incorporated in England and Wales under UK law. Regulated by ICO under UK GDPR. UK jurisdiction with no CLOUD Act exposure. EU-UK adequacy decision permits data flows for EU customers.

5/5

French SAS incorporated and operating under French and EU law; directly subject to CNIL enforcement.

Data Retention & Training

Is your data used for model training?

Dext: Financial document data may be used to improve extraction AI models—review DPA carefully for data use specifics. Configurable retention aligned with accounting regulatory requirements. GDPR DPA available.

Pennylane: Client accounting data is isolated per account and not used for cross-client model training.

3/5

Financial document data may be used to improve extraction AI models—review DPA carefully for data use specifics. Configurable retention aligned with accounting regulatory requirements. GDPR DPA available.

4/5

Client accounting data is isolated per account and not used for cross-client model training.

Certifications

ISO 27001, SOC 2, Cyber Essentials, etc.

Dext: Holds ISO 27001 certification. Appropriate baseline for a financial document processing platform. SOC 2 Type II and ISAE 3402 would further strengthen the posture for accounting firm procurement.

Pennylane: ISO 27001 certification in place; SOC 2 audit not confirmed for this relatively young platform.

3/5

Holds ISO 27001 certification. Appropriate baseline for a financial document processing platform. SOC 2 Type II and ISAE 3402 would further strengthen the posture for accounting firm procurement.

3/5

ISO 27001 certification in place; SOC 2 audit not confirmed for this relatively young platform.

Regulatory Fit

Suitability for regulated industries and professional services

Dext: Good fit for UK accounting practices and their SME clients. ISO 27001 and UK GDPR compliance meet common procurement thresholds for financial data processors. Suitable for FCA-regulated firms using Dext for expense and bookkeeping automation.

Pennylane: Purpose-built for French and EU accounting standards with CNIL-compliant data practices and PSD2 open banking integration.

4/5

Good fit for UK accounting practices and their SME clients. ISO 27001 and UK GDPR compliance meet common procurement thresholds for financial data processors. Suitable for FCA-regulated firms using Dext for expense and bookkeeping automation.

5/5

Purpose-built for French and EU accounting standards with CNIL-compliant data practices and PSD2 open banking integration.

Total Score

18/25

22/25

Best For

Dext

Best for EU-headquartered organisations needing maximum data sovereignty; regulated industries (ICO, FCA); enterprises requiring SSO integration.

Pennylane

Best for EU-headquartered organisations needing maximum data sovereignty; regulated industries (CNIL, AMF); privacy-conscious teams who need strong data retention controls.

Detailed Comparison

Dext vs Pennylane: Trust & Compliance Comparison

Dext (Dext, GB) scores 18/25 overall with a Silver (Strong) trust badge. AI-powered bookkeeping data capture and expense management for accountants. Pennylane (Pennylane, FR) scores 22/25 with a Gold (Excellent) trust badge. French AI accounting platform connecting SMEs and accountants in real time.

Dimension-by-Dimension Breakdown

#### Data Residency

Pennylane leads with 5/5 vs 4/5.

●Dext (4/5): Data hosted in UK and EU infrastructure. UK incorporation provides strong data residency baseline for British businesses. EU adequacy decision covers UK-EU transfers. No US data processing.

●Pennylane (5/5): Financial data hosted in France on EU infrastructure with no cross-border transfers outside the EU.

#### Legal Jurisdiction

Pennylane leads with 5/5 vs 4/5.

●Dext (4/5): Incorporated in England and Wales under UK law. Regulated by ICO under UK GDPR. UK jurisdiction with no CLOUD Act exposure. EU-UK adequacy decision permits data flows for EU customers.

●Pennylane (5/5): French SAS incorporated and operating under French and EU law; directly subject to CNIL enforcement.

#### Data Retention & Training

Pennylane leads with 4/5 vs 3/5.

●Dext (3/5): Financial document data may be used to improve extraction AI models—review DPA carefully for data use specifics. Configurable retention aligned with accounting regulatory requirements. GDPR DPA available.

●Pennylane (4/5): Client accounting data is isolated per account and not used for cross-client model training.

#### Certifications

Both score equally at 3/5.

●Dext (3/5): Holds ISO 27001 certification. Appropriate baseline for a financial document processing platform. SOC 2 Type II and ISAE 3402 would further strengthen the posture for accounting firm procurement.

●Pennylane (3/5): ISO 27001 certification in place; SOC 2 audit not confirmed for this relatively young platform.

#### Regulatory Fit

Pennylane leads with 5/5 vs 4/5.

●Dext (4/5): Good fit for UK accounting practices and their SME clients. ISO 27001 and UK GDPR compliance meet common procurement thresholds for financial data processors. Suitable for FCA-regulated firms using Dext for expense and bookkeeping automation.

●Pennylane (5/5): Purpose-built for French and EU accounting standards with CNIL-compliant data practices and PSD2 open banking integration.

Certifications at a Glance

Certification	Dext	Pennylane
ISO 27001	Yes	Yes

Overall Verdict

Pennylane has a clear trust advantage, scoring 22/25 compared to Dext's 18/25. Pennylane particularly excels in data residency, legal jurisdiction, data retention & training, regulatory fit.

Frequently Asked Questions

Which is better for EU compliance, Dext or Pennylane?

Dext has a TrustKit score of 18/25 while Pennylane scores 22/25. Pennylane currently rates higher across data residency, legal jurisdiction, data retention, certifications, and regulatory fit.

How do Dext and Pennylane compare on data residency?

Dext scores 4/5 for data residency (Data hosted in UK and EU infrastructure. UK incorporation provides strong data residency baseline for British businesses. EU adequacy decision covers UK-EU transfers. No US data processing.), while Pennylane scores 5/5 (Financial data hosted in France on EU infrastructure with no cross-border transfers outside the EU.).

Are Dext and Pennylane GDPR compliant?

Both tools are assessed across five compliance dimensions. Dext has a regulatory fit score of 4/5 and Pennylane scores 5/5. Check the full comparison above for a detailed breakdown.

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