Customizing Software as a Service (SaaS) platforms often proves to be a laborious and costly endeavor, resulting in diminished product engagement and elevated customer attrition rates.
As users increasingly gravitate towards artificial intelligence tools for expedient remedies, SaaS vendors stand to jeopardize customer allegiance and valuable insights.
Although recent no-code solutions aim to alleviate these concerns, they still heavily rely on technical teams for implementation.
Legato seeks to rectify this challenge by empowering business users to devise personalized software solutions, thus cultivating a novel growth paradigm for SaaS vendors known as the Platform Creator Economy, wherein users can offer bespoke services.
“SaaS platforms are beginning to comprehend that merely equipping developers and administrators with superior no-code or vibe-coding tools is insufficient,” asserts Dana Rochman, CEO and co-founder of Legato.
Based in Tel Aviv, Legato has successfully secured $7 million in a seed funding round spearheaded by S Capital VC, with contributions from Cerca Partners.
The aim is to utilize these funds to accelerate research and development and enhance its AI workforce.
The forthcoming battleground in the vendor AI arena will focus on empowering business users—those best attuned to the needs at hand—to independently create their requisite tools.
Legato brings app development directly to non-technical users, transforming professional services into an autonomous experience embedded within the product, accessible to all.
It’s a mutually beneficial arrangement: platforms remain competitive and retain creative ownership, while users can swiftly assemble tools tailored to their business requirements, condensing development time from months to mere minutes.
Pioneering Vibe App Creation
Founded in 2025 by Dana Rochman and Shlomit Tennenbaum, Legato specializes in the development of vibe applications tailored for software platforms, featuring an integrated AI builder that facilitates complete product customization.
The platform equips users, irrespective of their technical acumen, to implement, tailor, and automate functionalities using straightforward language.
Legato enables platforms to adapt with ease, circumventing the inefficiencies of costly or time-consuming services, thereby bolstering user engagement and growth.
The overarching objective is to sustain the competitiveness of SaaS platforms in the AI landscape by empowering users to innovate and transform platforms into self-sustaining ecosystems.
Operationally, Legato employs a multi-agent AI system that functions akin to a virtual professional services team. The goal is to truncate customization timelines from several months to mere hours.
This Israeli firm is currently collaborating with SaaS platforms in sectors such as customer relationship management (CRM) and human resources technology.
What’s Next?
Looking ahead, the company intends to diversify its offerings into sectors including financial services, healthcare, telecommunications, and energy, focusing on any platform equipped with APIs that seeks to furnish users with a self-service, AI-enhanced method to construct necessary tools.
As the multi-billion-dollar professional services sector continues to expand rapidly, largely attributable to the demand for platform customization, SaaS vendors risk missing substantial revenue-generating prospects.
Through Legato, customizations can be compressed into hours, rather than extending over months, conserving both time and financial resources inherent in conventional professional services, thereby reversing the trajectory for SaaS platforms facing potential stagnation, remarked Aya Peterburg, Managing Partner at S Capital VC.
The founders, Dana and Shlomit, have experienced the challenges confronting SaaS platforms firsthand.
With a combination of extensive enterprise and AI expertise, along with an unparalleled execution capability, Legato is revolutionizing SaaS software into fully extensible AI platforms that ensure platform adoption from the outset.
Source link: Techfundingnews.com.
