AI startup Dragonfly raises £2.6m led by Episode 1 with Dreamcraft
At a glance
This article covers a pre-seed round on 8 October 2025 for Dragonfly, a software discovery platform founded by Sean King and Sven Sabas. The round raised £2.6m and was led by Episode 1, with Dreamcraft joining as a key investor.
What does Dragonfly do?
Dragonfly is a software discovery platform with a conversational AI and a searchable software catalogue of over 250,000 products. It recommends ranked lists of suitable tools and provides explanations to help users choose and integrate software.
Why is Dragonfly useful?
Problem
People face hundreds of software options and long evaluation times when choosing tools for their business. Experts who can assess security, reliability and integrations are costly, and internal teams cannot stay up-to-date.
Solution
Dragonfly explains that it makes solutions architect expertise instantly available to users via a large catalogue and conversational AI. Users receive ranked, context-aware software recommendations and integration blueprints in seconds, cutting evaluation time from months.
How much did Dragonfly raise?
Dragonfly raised £2.6m in a pre-seed round led by Episode 1, joined by Dreamcraft alongside existing backers. This makes it the 14th largest funding round in October 2025 (23 recorded). As of 8 October 2025, the round is the 312th largest of the year (495 total) in the Startupmag database.
For details on how Startupmag compiles its rankings, view our Methodology.
Who invested in Dragonfly?
Key investors included:
- Episode 1: A UK early-stage VC that focuses on software and B2B technology companies.
- Dreamcraft: A venture capital firm that backs early-stage technology startups.
- Portfolio Ventures: A venture firm that invests in early-stage technology companies and supports founder-led teams.
- Sam Bourton: Angel investor with a background in data science and AI.
- Markus Villig: Angel investor experienced in consumer mobility and tech entrepreneurship.
In the funding announcement, Hector Mason from Episode 1 said:
Before Dragonfly, it was almost impossible to gather enough context about software tools to truly understand their capabilities, and whether they fit seamlessly within an existing stack. By solving this critical problem, made even more urgent with the rapid adoption of AI, Dragonfly has the potential to make every company on the planet operate more effectively.
In the funding announcement, Sam Bourton from QuantumBlack said:
I first met Sean and Sven after having spent three days with 150 CIOs and CTOs, witnessing firsthand the mounting complexity of the modern tech and data landscape. The explosion of GenAI and agentic systems has amplified the problem - leaders face a firehose of requests for new AI tools, with a thousand flowers blooming across their organisations, each demanding attention and resources.
If you're researching potential backers in this space:
- Explore our list of AI venture capital firms in the UK
- Browse our directory of AI angel investors in the UK
Who founded Dragonfly?
The founders of Dragonfly are Sean King and Sven Sabas.
In the funding announcement, Sven Sabas, co-founder of Dragonfly explained:
Sean and I have spent our careers building startups, and we learned firsthand that a company's success is tied to the technology it chooses. These decisions can make or break products, and often shape the long-term fate of an entire business.
The company continued that as seasoned engineering and data leaders who have built tech infrastructure they did not always get things right and identified a lack of reliable, up-to-date guidance, which revealed an opportunity to help organisations adopt modern tools with confidence in the age of AI.
Where is Dragonfly based?
Dragonfly is based in London, UK.
What sector is Dragonfly in?
Dragonfly operates in the AI sector. The AI sector builds systems that perform tasks needing human intelligence. It helps businesses automate work, analyse data, and make better decisions.
Key trends and challenges in AI:
Proliferation of AI tools
Thousands of AI tools now exist, for example hundreds of niche apps on public product directories.
Integration, security and compliance
Combining tools creates security and privacy risks, such as GDPR breaches when data crosses borders.
Access to expert guidance
High consultancy costs limit access to architecture advice, as consultants often charge hundreds of pounds per hour.
For a deeper look at innovation in this space, see the AI startups in the UK.
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