SinCode AI, the Malmö-based startup founded by Hugo Rosensköld Stengert and Jack Österberg, has been acquired by Dharmesh Shah, co-founder of HubSpot, marking a significant milestone for the young entrepreneurs. Launched in December 2022, SinCode AI rapidly grew to attract nearly 650,000 users before securing the attention of one of the world’s top CRM leaders.
A No-Code Start
Hugo and Jack began their entrepreneurial journey with limited resources and a shared passion for no-code technology. Jack started experimenting with tools like Bubble during high school, and Hugo soon joined him. Spotting an opportunity in AI, the duo built a platform enabling users to generate high-quality copy before the AI boom led by tools like ChatGPT.
“We didn’t have big budgets. No-code was our way in. We had to be scrappy and creative,”
Hugo shared, reflecting on their early days.
Scaling Challenges and Viral Growth
In early 2023, SinCode AI launched, gaining rapid traction through viral TikTok and YouTube videos. The platform reached 50,000 users in its first month, but growth brought its own set of challenges. The team faced system exploitation, fake accounts, and payment issues, which significantly increased their costs.
“It was a tough but eye-opening experience,”
Jack noted.
These challenges forced them to adapt quickly, enhancing security and reshaping their infrastructure to handle the demands of a growing user base.
Acquisition by HubSpot’s Dharmesh Shah
In 2023, SinCode AI caught the attention of Dharmesh Shah, co-founder of HubSpot. The hard work paid off when he was interested in acquiring the startup. The acquisition process was smooth, thanks to the founders’ decision to bootstrap the business, maintaining complete control.
“We were happy we didn’t take VC money early on. Being bootstrapped meant we could choose our own path,”
Jack reflected.
The Role of Minc
The Malmö-based incubator Minc was instrumental in SinCode AI’s success. Hugo and Jack joined Minc to gain mentorship and office space.
“Minc gave us the space to focus and the guidance to keep going,”
Jack shared.
Advisors like Jonas Jönsson played a critical role during tough moments, particularly when financial challenges arose.
“Having experienced voices to lean on made a big difference,”
Hugo added,
Advice for Aspiring Founders
Advice from the founders for new entrepreneurs are streight forward.
“Just do it. Don’t overthink it.”
is Jack’s advice
“Patience is key. It took months and countless conversations to finalize our sale.”
Hugo added
What’s Next for the Founders
Following the acquisition, Jack is pursuing his dream of becoming a commercial pilot, beginning his studies in January. Hugo, meanwhile, is exploring a new venture focused on enhancing productivity for iPhone users.
From its bootstrapped beginnings to a high-profile exit, it’s a journey that highlights the regions growing role as a hub for tech innovation.
