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Gurgaon-based food-tech startup, Bueno Foods, has raised $600,000 from a high networth individual in its first external fundraise.
The startup will use the raised funds in technology development, and expanding its capacity in terms of kitchen, logistics and delivery.
Bueno was started in 2013, as a retail outlet in Cybercity (Gurgaon). However, looking at the demand for specialized multi-cuisine food, it pivoted into a food delivery startup. It also provides bulk orders and catering services. Bueno positioned itself as a premium food-tech firm, delivering quality food and services. It has 7-8 cuisines which includes over 30 items in the menu, along with an in-house kitchen and delivery team to ensure customer service.
“There are many food-tech startups around, but we don’t want to be the Android. We are premium and therefore, we position ourselves as Apple of the business. We do not want to spread thin, we want to create that brand pull to ensure that people are drawn towards the brand,” shared Rohan Arora founder and CEO at Bueno Foods.
Over next six months, the startup plans to expand in Gurgaon region, before expanding to other regions.
Over last one year, Bueno Foods has acquired over 30,000 customers, touching 150-200 order per month and touched roughly $100 Mn annual turnover.
Rohan added, “In the next 6-7 months, we are expecting 10x-15x growth for which we are building our capacity to be able to cater to that demand, this includes ramping up our team to 250 people including the delivery team.”
Bueno Foods recently moved to larger kitchen and are planning to build a network of 8-10 satellite kitchen for faster delivery.
Though it is a good start for Bueno, with a team of experienced chef and the founders himself bringing industry experience from Pepsico, HUL, Citi and JP Morgan. It is expected to face a lot of challenges as food-tech is becoming a crowded space with players directly competing like Yumist, FreshMenu, Frsh, Eatlo, HolaChef and more.
According to Tracxn report on food-tech industry, the space has attracted over 40 investments in just last six months, and the overall investments reaching to $2.3Bn.
Started by Ex-Zomato CMO, Yumist is another Gurgaon–based food tech startup that raised over a million funding from Orios Venture partners. Another startup, HolaChef and Eatlo, recently raised $3.1Mn from Kalaari Capital and India Quotient and around $1Mn from Powai Lake Ventures, Abhishek Goyal (Tracxn Labs) and Globevestor respectively.
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