Refold AI Secures $6.5M to Automate Enterprise API Integration
Refold AI has officially emerged from stealth, announcing a significant $6.5 million in pre-seed and seed funding aimed at revolutionizing enterprise software integration. The startup, co-led by Eniac Ventures and Tidal Ventures with participation from investors including Better Capital, Ahead VC, Karman Ventures, and Z21, is poised to tackle what it calls the “integration tax” that plagues large organizations.
The “integration tax” refers to the burdensome, often manual, and costly process of connecting disparate enterprise systems and their APIs. Businesses annually spend an estimated $350 billion on consultancies and system integrators to manage these complex connections, which frequently result in new tickets for every workflow, system upgrade, or edge case. This reliance on human-driven, outsourced service work leads to significant time delays and financial drain, with small changes sometimes triggering days of downtime and six-figure escalations.
Refold AI aims to dismantle this paradigm with an “AI-native system integrator” platform that deploys autonomous AI agents to handle the heavy lifting of enterprise integrations. These sophisticated agents are designed to learn system behaviors, autonomously write and maintain integration code, and adapt seamlessly to software changes, effectively removing human intervention from the loop. The company’s vision is to replace armies of billable-hours contractors with scalable software that puts senior consultant skills into deployable code.
The platform boasts a three-layered architecture tailored for diverse users: Workflow Code Agents for engineering teams, MCP Chains (Multi-Concept Prompt) that offer a natural language interface for business users and AI developers, and an Embedded Integrations Platform for SaaS providers. This comprehensive approach allows for the generation, testing, and maintenance of integration logic without the need for boilerplate code, enabling business teams to describe desired outcomes and have agents automatically generate working workflows. For SaaS companies, it provides a plug-and-play toolkit for offering native integrations.
Founded by Jugal Anchalia (CEO) and Abhishek Kumar (CTO), the team behind the previously acquired startup JustDoc, Refold AI was born from their firsthand experience with the inefficiencies of large-scale SAP environments. As Anchalia stated, “We were spending more time managing chaos than building software. We started Refold with a simple idea: integrations are repeatable and cumbersome, it should not need humans”.
Despite only recently emerging from stealth, Refold AI has already demonstrated significant traction. The company serves over 30 paying enterprise customers, including Incorta and Naehas, and has doubled its customer base in the last two months. Its platform supports more than 1,500 active users and processes over 30 million API calls monthly, achieving seven-figure annual recurring revenue. Early implementations have shown remarkable results, including a 6X faster integration development time, a 53% reduction in total cost of ownership for integration management, and a 2X increase in customer acquisition for SaaS platforms leveraging Refold’s embedded integrations. These efficiencies can collapse multi-month projects into mere days and accelerate enterprise deals from months to days.
Headquartered in both Bengaluru, India, and San Mateo, California, Refold AI plans to utilize the new capital to expand its engineering team, enhance product integrations, and further support its growing enterprise customer base. The company, currently with a team of 20, aims to grow to 30 employees by year-end. This strategic move aligns with the broader industry shift towards agentic AI, which is disrupting traditional IT services by reducing reliance on manual workflows and high-cost consulting. Refold AI’s ambition is to become the unseen, ambient infrastructure that seamlessly binds high-quality data to every AI workflow in the modern enterprise stack.