Guest on AI with Sach
Ajith
Co-founder, Cactus (Y Combinator batch); previously co-founder of Turing Labs
Episode with Ajith
Building Cactus: AI That Actually Helps SolopreneursCactus co-founders explain how a personal need for private chefs led them to build an AI assistant for solopreneurs, and why they build slowly.Avinash, AjithCo-founder and technical lead, Cactus (Y Combinator batch) · Co-founder, Cactus (Y Combinator batch); previously co-founder of Turing LabsIn Ajith’s words
We asked a chef what she earned last month. Her real number was half.
And me and Avnash were meeting with the chef. We asked her, like, how much did you earn last month? And she was like, she gave us a number. And we said, okay, can we just take a look at actually your transactions? And it was half of that, technically. So she was shocked.Ajith
Ajith recalls the moment the founders saw that private chefs struggle with admin, not with finding customers.
Cactus promises to automate 90% of admin work. The other 10% is the soul of the business.
You cannot replicate that energy through software. You cannot replicate that energy through a technology, right? And that's the 10% which we don't want to automate. Because that is the soul of your company. And it's usually the founder, right?Ajith
Ajith explains which 10% of a solopreneur's admin work Cactus will not automate.
What worries an AI founder: people who never need to talk to anyone.
So what really keeps me up at night is will AI really change our lives to an extent where human relationships won't matter at all? Right? That's very scary to me. For example, can everybody have like an AI boyfriend, girlfriend? And can they live in this virtual AI life where you'd never have to talk to anybody?Ajith
Asked what keeps him up at night about AI, Ajith names the replacement of human relationships.
The first billionaire solopreneur is coming, and AI will be the staff.
And we believe SMB, small, medium businesses and solopreneurs are going to be the future. There's going to be millions of them. And the entire market is going to change. And we believe that the first billionaire solopreneur will be built on Cactus, right?Ajith
Ajith explains why they moved from big consumer goods companies to solopreneurs.
My first co-founder and I never met before we started the company.
We didn't really spend much time understanding each other. Honestly, we didn't even meet when we became co-founders, actually. So it is a big mistake. Right. And it became very clear to me that over a period of years that the alignment was the base foundation was not there, basically.Ajith
Ajith describes what went wrong with his co-founder relationship in his first startup.
We are both responsible for everything. But only one of us is accountable for each thing.
But we clearly know who's accountable for what that, okay, if selling is not happening, then it's me. If product is not working, it's Avinash. Like that's, it's as simple as that.Ajith
Ajith explains how the co-founders share responsibility but keep accountability clear.
In the 1990s, experience won. Today, how fast you learn matters more.
So if you look at the graph of how important experience is versus how important the rate of learning is, right? So in 1990s, the experience mattered a lot, right? Your rate of learning was not that important. And I think in the 2010-15, it was like kind of equalized. But I think we are now really truly finally in the place where I think experience matters way less than how quickly you can learn.Ajith
Ajith gives his view on whether lean startups should hire generalists.
Only 10 to 15% of inquiries pay. Answer in five minutes or lose them all.
First is they get a lot of inquiries every week and only 10 or 15% of them are actually going to be paying customers. So they waste a lot of time talking to all of them. And the second is that when somebody inquires, you have to get back to them within five minutes. If you don't, they are lost.Ajith
Ajith explains the two findings behind Cactus's voice AI that qualifies inquiries.
We build an assistant for business owners, not a clone of them.
You're running a business, right? It's much easier to hire an assistant who will do everything for you versus cloning yourself. Right? So we want to be on the assistant side versus the trying to clone, basically.Ajith
Ajith explains why Cactus builds an AI assistant instead of cloning the business owner's voice.