Creadev Secures New Funding for QSR Brands

Salted Secures $16 Million in Series A Funding for Expansion

Salted, a Los Angeles-based startup focused on developing digitally native quick-service restaurant (QSR) brands, has successfully raised $16 million in a Series A funding round. This new capital will be utilized to accelerate the company’s nationwide growth initiatives.

Company Background and Vision

Founded seven years ago by CEO Jeff Appelbaum, Salted strategically shifted its focus three years ago towards providing healthier QSR options and capitalizing on the expansive $325 billion food delivery market. Appelbaum envisions Salted as “the Yum! Brands for the digital age,” aiming to replicate their success in a modern context.

Brand Portfolio and Operational Model

To date, Salted has established six distinct brands, including moonbowls, Califlower Pizza, and lulubowls. These brands collectively offer a diverse menu, ranging from Chinese cuisine and pizza to fresh salads.

Appelbaum emphasized the importance of technology, stating that “Our technology and Salted Analytics product helps us grow at the rate we want to and still maintain customer experience.” He clarifies that Salted isn’t simply a ghost kitchen operation, but rather a builder of enduring brands with long-term potential.

Investment Details and Future Goals

Creadev spearheaded the Series A funding round, with additional participation from Proof Ventures and B. Riley Financial. This investment supplements a previous $4 million seed round secured in May. Appelbaum intends to continue utilizing these funds to pursue his objective of “building the next Chipotle.”

Current Operations and Growth Projections

Currently, Salted employs over 200 individuals, including kitchen personnel, and operates 19 locations across seven states, such as California, Illinois, and Ohio. Each location typically houses four to six different brands.

The company anticipates expanding its footprint to over 50 locations by the following year. Presently, these locations are collectively profitable, generating annual sales between $1 million and $2.5 million.

Investor Perspective

Adrien Lejal, investment director at Creadev, highlighted Salted’s commitment to healthier food choices and its dedication to its core mission. He noted that this aligns with the values of the Salted team.

Lejal had been monitoring Salted’s progress for approximately 18 months before deciding to invest during the Series A round. While the QSR sector isn’t a typical focus for Creadev, the firm actively invests throughout the food industry in companies demonstrating “huge scalability potential.”

Key Strengths and Leadership

“The company as it is now was founded in 2018 and is already operating in seven states and combines scalability with execution, quality and speed,” Lejal explained. He also underscored the importance of strong leadership, praising Jeff Appelbaum’s management style and his ability to achieve significant milestones within a short timeframe.