Mindset AI Raises £4.3 Million To Meet Growing Demand For Embedded AI Agents For SaaS Businesses

Mindset AI, an AI agent platform, has raised £4.3 million in funding to expand its operations in the UK and open an office in Chicago, U.S. The round was jointly led by Edge VC and Pembroke VCT, with participation from existing investors and Mountside Ventures advising the raise.

Mindset AI enables SaaS companies to build and embed AI features in their products without starting from scratch. It allows these companies to create user-friendly AI agents that chat using natural language, turning their unique content, expertise, and intellectual property into effective AI features.

The impact is already measurable. One client saw course enrolments increase by 900% within three weeks of launching a search and recommendation agent, leading to 3.4x more revenue than those without access. Another company’s AI support agent reduced their team's workload by 40% in just one month, freeing up teams for higher-value work.

Mindset AI was founded in 2019 by the team that built and exited Workshare, the secure enterprise file-sharing software service. Barrie Hadfield, CEO and co-founder, is a seasoned technology entrepreneur with extensive experience in founding and leading companies within the software and AI sectors.  

Mindset AI has grown 120% year-on-year, hitting £1M ARR in October 2024. The company was also named one of Sifted’s ‘top 59 generative AI startups in Europe to watch’ in 2024. Prior to this round, it had raised £3.79M from Mercia and angel investors.

Mindset AI’s platform is already embedded in global SaaS products across learning and development, HR and media—with clients such as Alison, Fuse Universal, SkillPath and Mintra. Mindset AI’s agents now operate within over 2,700 companies.

The AI agent market is projected to grow from $5.1 billion in 2024 to $47.1 billion by 2030, with a compound annual growth rate of 44.8%. AI is shifting from experimentation to real business applications, and whilst some of the biggest software players are investing billions in AI agent infrastructure, SaaS companies are challenged to keep up with the pace of change and constant demand for new AI features. Regularly expanding AI capabilities is costly, time-consuming, and requires specialist talent that many companies don’t have.

Barrie Hadfield, CEO & Co-founder of Mindset AI, said:

“As AI evolves, so does the gap between businesses adopting it and those being left behind. AI talent is in short supply, and costs are high. Companies need solutions that let them deploy AI agents without heavy investment in AI teams or long development cycles. We’re making AI agent creation as easy as writing a Google Doc, so that SaaS companies can embed AI without friction.”

The investment will support the development of Mindset AI’s natural language programming interface, expand its APIs, SDKs, and no-code tools, and scale its go-to-market efforts. The team will also use the funding to establish a U.S. presence, with Chicago selected as the home of its first US office.

Fred Ursell, Investment Director of Pembroke Investment Managers, commented:

"Mindset AI is redefining how learning and development businesses present and monetise their content through AI-powered conversational agents. With an experienced and exited founder, strong SaaS business model fundamentals, and a clear path to growth, we’re excited to back Barrie and the team as they scale. Mindset AI has the potential to transform the way enterprises leverage their content, and we look forward to supporting their journey."

David Glick, Founder of Edge Investments, said:

“Edge Investments is very pleased to lead this investment into Mindset AI as it enters its next stage of growth. Experienced entrepreneur Barrie Hadfield and his talented team have built an outstanding platform that enables businesses to seamlessly harness the power of AI and drive tangible value with speed and efficiency. Mindset AI’s relentless innovation and bold vision are truly transforming the industry. Alongside my colleague, Hugo Sunnucks who led this investment for Edge, we look forward to supporting Mindset AI’s continued success.”

Alex Reed, Founding Partner of Mountside Ventures, said:

"We’re delighted for Barrie and the team on successfully closing their funding round with the backing of the right investors. It’s been a pleasure advising them through the process—it’s rare to find an exited serial entrepreneur who is not only highly technical but also possesses such strong commercial acumen. We’re excited to see Mindset thrive in its next stage of growth as they deliver on their mission to make expert knowledge accessible."

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About Mindset AI

Mindset AI is an embeddable AI agent platform that enables people to build, manage and deploy AI agents with just natural language on top of their data & IP, as simple as writing a document.

Mindset AI is embedded in SaaS products across L&D, HR, and media, with AI agents deployed in more than 2,700 companies as learning tutors, HR service delivery agents, customer support and many more.

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About Pembroke VCT

Established in 2013 and managed by Pembroke Investment Managers LLP, Pembroke VCT plc backs ambitious founders at growth-stage companies in the consumer, business services and technology sectors. Led by entrepreneurs for entrepreneurs, our investment team aims to find exceptional and innovative founders to grow the brands of tomorrow, allowing investors to share in the growth of some of Britain’s most exciting and entrepreneurial smaller companies. Pembroke is committed to helping our community of founders realise their vision through its strategic and operational expertise, helping at every stage of a company’s growth.

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About Edge VC

Edge is specialist Seed and Series A venture capital investors in exceptional creative teams and emerging technologies. We look for the drivers of creativity in the social and cultural spheres. Companies increasing access to creativity and companies supplying these creative companies.

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About Mountside Ventures

Mountside Ventures is Europe's leading startup & VC accelerator, and early-stage advisory firm. They are the first port of call for founders and investors looking to fundraise, and are on a mission to optimise the fundraising process. For Series A and Series B companies, they provide interim CFO and fundraising support, enabling founders to raise their next round of funding faster, more efficiently and causing the least disruption. For VCs, they run Europe's first VC Accelerator, The Emerging VC Manager Programme, the gold standard in accelerating Europe’s exceptional fund managers through a combination of workshops, world-class mentoring, and LP & Family Office introductions. Mountside Ventures is proud to be a certified B Corp, is regulated by the ICAEW, and is a member of the BVCA, UKBAA and EISA.