RapidCanvas, an Austin-based startup that pairs AI agents with human engineers to build custom software for large companies, said this week it closed a $29 million Series B, betting that enterprises still need hands-on help turning AI promises into working systems.
Vertex Ventures SEA & India led the round, with Hitachi Ventures joining as a new backer. Existing investors Accel, Peak XV Partners, Valley Capital Partners and Titanium Ventures also put in money, according to the company. The raise brings RapidCanvas's total funding to $52.5 million, following a $16 million Series A in December 2024.
What the company sells
RapidCanvas doesn't sell AI tools for customers to use themselves. Instead, its field engineers study a client's existing operations, then build and run custom AI applications tailored to that business, with the apps able to connect to and update systems such as CRM and ERP software the client already runs. The company says the approach is built around what it calls an Enterprise Context Engine, a system meant to store a client's specific business rules and definitions so its AI applications apply them consistently rather than generating generic output.
The company says its annual recurring revenue has grown eightfold over the past six quarters and that more than 75 companies have used its applications so far this year. RapidCanvas has not disclosed its valuation or specific revenue figures.
"AI can be the great equalizer, but so far its biggest wins have gone to the Fortune 100."
— Rahul Pangam, co-founder and chief executive, RapidCanvas
Where the money goes
RapidCanvas plans to use the new funding to expand its sales teams and build out partnerships with private equity firms and advisers, who can introduce the company to portfolio companies in need of custom AI deployments. It also intends to hire additional AI engineers in the United States, Brazil and India, broadening the delivery teams that work directly with clients.
The round lands amid a broader wave of venture money flowing toward startups that promise to make enterprise AI actually usable rather than merely available, a category investors have increasingly favored over general-purpose chatbot products as corporate buyers look for measurable returns on their AI spending. RapidCanvas's backers are wagering that the company's mix of software and hands-on engineering support will keep it ahead of both larger consulting firms and self-serve AI platforms as that competition intensifies.
