Cactus, a company specializing in AI solutions for home service businesses, has successfully raised $7 million in seed funding. The funding round was led by Wellington Management and Y Combinator, with participation from Pelion Venture Partners, Rebel Fund, and other strategic investors. Cactus aims to revolutionize the $657 billion U.S. home services market, which is still largely dependent on traditional methods like phone calls and spreadsheets. By introducing a 24/7 AI platform, Cactus automates customer interactions, from answering and qualifying inquiries to booking and follow-ups, ensuring that no customer request goes unattended.
Erin Smith, co-owner of Blue Best Plumbing, Heating & Air Generators, praises the system’s ability to sound natural and friendly, often leaving customers unaware they are speaking with AI. Ajith Govind, co-founder and CEO of Cactus, highlights that the platform helps small teams function like larger enterprises by ensuring every inquiry is handled instantly and professionally. Unlike basic AI tools, Cactus offers comprehensive follow-up services via phone, email, and text, which helps businesses rebook jobs, send reminders, and maintain customer relationships.
Co-founder and CTO Avinash Joshi emphasizes that Cactus is designed to eliminate administrative friction, allowing business owners to concentrate on growth. The company sees significant potential in modernizing the home services sector, turning routine operations into automated, revenue-generating systems. With the new funding, Cactus plans to expand its platform and accelerate its market presence across the U.S.
