Arrowhead, a voice AI startup creating human-like sales agents for the financial services sector, has raised $3 million in seed funding led by Stellaris Venture Partners.
The funding round also saw investments from notable angel investors, including Kunal Shah (CRED founder) and Madhusudanan R (M2P founder), as well as fintech executives who are also Arrowhead customers.
According to the press release, the funding will enhance Arrowhead’s AI models, expand its technology and sales teams, and improve conversion rates for financial services.
“Indian enterprises have long relied on large human sales teams because labour was considered inexpensive, but this has led to significant inefficiencies, from training and attrition to mis-selling and inconsistent outcomes,” Devyani Gupta, co-founder and CEO of Arrowhead, said in a statement.
Arrowhead’s platform features a fully developed orchestration layer that allows voice AI bots to engage in conversations lasting up to 20 minutes.
“We’re building voice AI agents that can handle long, complex sales conversations while delivering meaningfully better conversion outcomes. What’s exciting is how quickly financial institutions are now moving from pilots to full-scale adoption,” she added.
The platform is designed for natural, compliant conversations and strong responses at scale. From August to October last year, Arrowhead achieved a fivefold increase in ARR, it stated, and boasted that every proof-of-concept has moved to a live deployment without losing a single POC.
Arrowhead cited deploying its voice AI bots to a large financial institution that carried out full health insurance sales calls, achieving 45% higher conversion rates than human agents and replacing manual operations. Additionally, Arrowhead enabled a financial services firm to contact 100% of its customers for insurance renewals, resulting in a 20% increase in renewal rates.
Arrowhead operates in India and Southeast Asia, serving over 50 clients in various banking, financial services and insurance (BFSI) applications. The company partners with major institutions like Bank of Baroda Cards, Aditya Birla Capital, and Paytm.
In the next 12–18 months, Arrowhead plans to improve its BFSI conversational models, enhance infrastructure to support tens of thousands of simultaneous calls with sub-500ms speech latency, and develop emotion-aware voice agents, transitioning into an omnichannel customer interaction platform across chat, calls, and messaging, the company said.
Vardhan Dharnidharka, principal at Stellaris Venture Partners, added in the statement, “Voice AI for the financial sector in India alone represents a $3 billion market, with less than $50 million penetrated so far, highlighting how early we still are in this transition.”
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