Subject: Friends of Arrows update (+91 demos to hit $2.25M ARR)

Hey everybody!

Lots going on, so let’s skip the intro and get right to the update. 🙌

May 2025 was a continuation of our Spring momentum. Here are the highlights:

• **📈 Pipeline progress—**We hit a new all-time high of +91 new demos scheduled in a single month. This is the third month in a row where we’ve hit a new high for sales demos scheduled—78 and 73 respectively. (One negative of this number: we also had 7 people request demos with us and then not schedule anything. All of these were based in the EU, where we just don’t have good timezone coverage given our GTM team is based on the west coast.)
• **🏗️ Sales room interest—**Yet again, 36% of those demos chose “Sales” as the primary reason they wanted a demo of Arrows (as opposed to “Onboarding”). This shows continued interest in our new sales room product, and we still haven’t done enough marketing for this product.
• **🎉 ARR growth—**Grew ARR by 3.6% to a total of $2,247,385. We only added $78,738 in net new ARR, which is lower than we’d hope with the number of deals we’ve been adding to the pipeline. This was a double whammy month of higher than typical churn and lower than expected newly added revenue.
• 🙌 Kim Hacker has been promoted to COO at Arrows! Kim was one of the first 3 people to join the team and she’s become indispensable in helping us scale, taking over marketing and partnerships on top of her original sales and operations duties.
• **🤝 We successfully hired our second sales rep—**Stephanie, who is reporting to Grant, our Head of Sales. She’s already closed 3 deals in her first few weeks on the job. We also have been able to open up a lot more times on the demo scheduler and we believe that’s contributed to some of the pipeline growth.
• **👀 Our partner manager hiring has been going pretty well—**I’ve personally interviewed ~34 candidates and we got down to 4 doing our take home project. We’re cautiously optimistic that we’ll find the right person here. Fortunately, the partner channel has continued to be a positive source of pipeline during this hiring process, so we’re confident the role will have an immediate impact.
• **🪴 Expanding our capacity—**our whole team is working at capacity, and yet we have plenty more demand. I’m working very hard to make sure we can expand our capacity and lean into everything that’s working so well.
• **🤖 AI tooling updates—**We made a lot of progress on our “tool calling” infrastructure for our AI capabilities in Arrows. This unlocked a new feature we already launched to automatically grab any new call recording and its URL from HubSpot and create a suggestion to the sales rep to add the call recording to the sales room. There’s a lot more we unlock here with this new infrastructure and we expect it to allow us to move much faster on new AI features.
• **☁️ Salesforce planning—**Benedict (CPO), Matt (CTO), and I (CEO) have been spending a meaningful amount of time each week on planning for Arrows to launch on Salesforce. This is a mix of understanding what “good” looks like and figuring out where we can have an impact, especially with how we’re building AI features using the context of the CRM. Matt’s starting to write some code each week, and we’ll kick off development in earnest starting in July.
• **🔥 Fun fact—**since the December investor update, we’ve only burnt $43k of cash and yet have continued to grow as well as ever. We’re feeling very confident about spending more now.