Pune-based tech focussed QSR chain Faaso’s has grabbed $20 Mn in a fresh round of funding led by LightBox Ventures and Sequoia Capital. Of the total amount, $16 Mn is equity investment by Lightbox and Sequoia, and a $4 Mn debt.
Startups in food space has grabbed a lot a attention in past few months, last week a number of funding activities in this space took place, which also included JustEat India acquisition by Foodpanda, three startups i.e. Yumist, FRSH and Holachef got funding of $1 Mn, about $250k – $200k and INR 2 Cr. respectively.
Jaydeep Barman, a former McKinsey and Co executive alongwith Indian Institute of Management-Lucknow batchmate Kallol Banerjee founded Faaso’s in 2004. The startup had earlier raised funding of $5 Mn from Sequoia in 2011.
Faasos, a technology-focused quick-service restaurant, it was the first company to start taking orders via tweets, users can tweet Faaso’s for food and can also gift wraps etc. to their friends residing in other cities.
The startup now has over 90 outlets across Pune, Mumbai, Bengaluru, Ahmedabad, Chennai and Vadodara. Further, it plans to use the funds raised to add 10 cities over the next 12 months.
Faaso’s also has a mobile app that was launched in March last year, as per the company now 65% of its orders come through internet and it processes 50,000 orders a month through its mobile app.
The app has a simple User-Interface (UI). ONE can order wraps for either take-away or free home delivery and can also trackorder status. Cash on Delivery, Debit card and Credit Card are the payment options available. Wraps and Biryani can be easily customised by using the app. A Faasos store in close vicnity can also be located using the app.
The startup expects to cross INR 100 Cr. in revenue by March 2016 and INR 450 Cr. in March 2018.
Last year, Bangalore-based food delivery startup Spoonjoy had also raised an undisclosed amount in angel funding from Sachin Bansal (Co-Founder Flipkart) and Mekin Maheshwari (CPO Flipkart) among others; Tinyowl, had also raised $3 Mn from Sequoia Capital and Nexus Venture Partners last year.
LightBox was founded by Sandeep Murthy alongwith 4 others last year. Its India based partners include former Komli CEO Prashant Mehta and Evolv founder Sid Talwar. Two of its partners, ZoomIn founder Sunny Rao and former Google executive Jeremy Wenokur, are based in the US. The fund had raised its second fund at INR 600 Cr last year in October.
Lightbox has earlier invested INR 12 Cr. in online test preparation portal focusing on engineering entrance exams, Embibe.com.