German AI-Startup Synthflow Raises $9.1M Investment

Automating repetitive tasks for the busy people running small businesses, according to Berlin-based startup Synthflow. This company has just announced a $7.4 million seed round for its SME-focused no-code platform for AI voice assistance. Founded in spring last year, Synthflow has now secured a total of $9.1 million, highlighting investor enthusiasm for generative AI applications.

The startup is nearing 1,000 customers, boasting “double-digit” monthly growth rates since launching its browser-based no-code tool in December 2023. This indicates a strong interest among SMEs in generative AI tools that offer easy productivity gains.

The new funding will be directed towards R&D, says Synthflow CEO and co-founder Hakob Astabatsyan. The team plans to increase product utility and broaden its appeal to more SMEs. “We have many ideas. We know exactly what the customers need,” says Astabatsyan. A serial entrepreneur with a business background and experience at Rocket Internet, he is joined by his brother Albert, who has collaborated with him on a previous no-code startup, and Sassun Mirzakhan-Saky, a software engineering expert and CTO.

Synthflow’s product initially focused on English-language call handling, as its largest markets are English-speaking. However, it has since added beta versions in German and French, indicating plans to expand its focus on European markets.

Call centers were early adopters of AI voice agents, using large language models’ (LLMs) APIs to power systems capable of answering phone calls with human-like energy and enthusiasm 24/7, albeit not always perfectly. Synthflow is taking a different approach, targeting service industry-focused SMEs directly, including smaller businesses, with a DIY no-code offering. The goal is to provide SMEs with an “end-to-end” experience, automating core tasks like appointment scheduling, which should immediately benefit resource-strapped businesses.

“The AI can do it in a more affordable manner, more reliably, and humans can do other stuff,” Astabatsyan succinctly explains the value of voice assistance.