Ex-Meta Engineer Secures $14M Funding for Lace AI: Revolutionizing Revenue Generation Software
In the rapidly evolving landscape of artificial intelligence, Boris Valkov, an AI engineer formerly with Meta, has emerged as a key player in revolutionizing customer service through innovative software solutions. His company, Lace AI, is leveraging AI technology to transform the customer service operations of home service businesses.
From AI Engineer to Entrepreneur
Boris Valkov’s journey into entrepreneurship began in his childhood, working in his family’s grocery store. This experience instilled in him a profound understanding of the importance of effective customer service via telephone communication. After gaining substantial experience at VMware and Meta, where he contributed to the development of PyTorch, one of the largest machine learning libraries, Valkov decided to fuse his passion for AI with customer service, leading to the inception of Lace AI.
Innovative Solutions for Home Services
Lace AI specializes in AI-driven customer service software tailored for the home service industry, which includes sectors such as HVAC, plumbing, and roofing. The idea emerged after Valkov and his co-founder Stan Stoyanov engaged with over 100 companies, discovering that the majority of sales in this vertical are initiated through phone calls to call centers.
How Lace AI Improves Call Conversions
The core premise behind Lace AI is simple yet powerful: every customer call represents a potential sale. The company’s software aims to enhance the likelihood of converting these calls into actual sales. Key features of Lace’s revenue intelligence software include:
- Comprehensive Call Monitoring: Unlike many competitors, Lace monitors 100% of incoming calls, ensuring no potential lead is overlooked.
- Revenue Opportunity Detection: The AI analyzes conversations to identify lost revenue opportunities, providing actionable insights.
- Impact on Revenue Growth: Even a small increase in call conversion rates can significantly boost revenue for home service businesses.
Impressive Growth and Funding
Since its inception in early 2022, Lace AI has reported remarkable growth, achieving a 1,000% annual recurring revenue (ARR) increase in 2024. Despite starting its sales operations only recently, the company has already partnered with over 100 businesses, including notable names like A1 Garage Door Service and Eco Plumbers.
Recently, Lace AI announced that it has secured a total of $19 million in funding to date. This includes a previously undisclosed $5 million pre-seed round led by Canvas Ventures and a $14 million seed round led by Bek Ventures. Other prominent investors include Horizon VC and Marcin Zukowski, co-founder of Snowflake.
Investor Confidence and Future Plans
Mehmet Atici, managing partner at Bek Ventures, highlighted the team’s expertise as a key factor in attracting investment. He noted, “There’s a growing trend of applying AI to sectors historically underserved by technology, and this team is well-positioned to address these needs.”
With a current workforce of 20 employees, Lace AI plans to utilize its new funding to triple its team size, further solidifying its position in the AI-driven customer service market.
For more insights on how AI is transforming customer service, visit TechCrunch or explore our internal resources on AI in Business.
