Small businesses spend too much time on routine operations that do not drive growth. Motion, a Y Combinator backed startup, just closed a $38 million Series C to build what it calls the "Microsoft Office of AI" for small and medium sized businesses. The company aims to deliver AI powered automation and artificial intelligence for SMB that is ready to use by non technical teams.

Background

While large enterprises invest in custom models and dedicated engineering, many small businesses cannot access those resources. Motion founder Harry Qi, a former hedge fund professional, saw an opportunity to provide scalable AI solutions that let small teams increase efficiency with AI without hiring developers. The platform centers on AI agents that automate repetitive business tasks with AI, from sales outreach to reporting.

Key findings

• Funding details: Motion raised $38 million as part of a larger $60 million tranche led by Scale Venture Partners. Total funding now sits near $75 million with a valuation around $550 million.
• Customer traction: The company reports roughly 10,000 B2B customers shortly after launching its integrated AI agents, demonstrating demand for SMB automation tools and AI driven business tools.
• Revenue: Motion reached about $10 million in annual recurring revenue, suggesting strong product market fit and customer retention for its AI workflow optimization features.
• Product scope: Motion offers AI agents that handle sales outreach, meeting scheduling, data analysis and reporting. The focus on user friendly, ready to use agents helps non technical teams adopt generative AI for business workflows without complex setup.
• Investors: The round included Scale Venture Partners, Y Combinator backed funds and other growth stage investors, signaling confidence in cost effective automation for SMB.

What this means for small business automation

Motion's growth suggests the automation revolution is reaching smaller companies in a meaningful way. If SMBs can deploy AI powered automation and AI agents that handle whole workflows, they can close the gap with larger competitors. For example, a small marketing agency using Motion for client reporting and lead generation benefits from AI workflow optimization and may compete more effectively against bigger firms with larger teams.

Successful adoption will depend on clear value, reliable outcomes and accessible pricing. Many small businesses are price sensitive and cautious about AI reliability for mission critical functions. Motion must prove consistent performance and demonstrate measurable ROI, such as time saved and revenue uplift, to drive broader adoption of artificial intelligence for SMB.

From a search and content perspective, companies offering integrated AI solutions should prioritize EEAT and answer natural language queries like "how can AI help my small business" or "best automation software for SMEs" to capture voice search and long tail intent. Optimizing content for user intent and demonstrating real world use cases will help convert search interest into trial and paying customers.

Conclusion

Motion's $38 million raise and rapid customer growth reinforce demand for scalable AI solutions targeted at small businesses. By positioning itself as the Microsoft Office of AI, the company is betting that ready to use AI agents and SMB automation tools can deliver measurable efficiency and revenue benefits. As Motion expands product and engineering efforts with new capital, watch for broader adoption of AI powered automation across small and medium sized businesses.