Zenput Raises $27M Series C Funding - Restaurant Operations

Streamlining Operations and Ensuring Food Safety with Zenput

Maintaining consistent food safety standards presents a significant hurdle for single restaurant locations, and this challenge is amplified exponentially when managing thousands of establishments. Zenput has engineered a technological solution designed to facilitate rapid adaptation of operational procedures, thereby enabling businesses to uphold stringent quality control.

Recent Funding and Company Growth

The San Francisco-based operational execution company recently secured $27 million in Series C funding, with Golub Capital leading the investment. These funds will be utilized to further refine their application, which automates operational processes encompassing food safety tracking, adherence to public health guidelines, and responses to evolving market dynamics.

Capabilities and Applications for Multi-Location Businesses

Zenput’s platform empowers restaurants, convenience stores, and grocery chains to simultaneously implement new processes, launch promotional campaigns, and introduce key initiatives across all their locations. Furthermore, the system collects valuable data and insights from these locations, identifying areas for operational enhancement.

Investor Confidence and Total Funding

Golub Capital was joined in this funding round by existing investors, including Jackson Square Ventures, MHS Capital, and Goldcrest Capital. This latest investment brings the company’s total funding to over $47 million, as confirmed by co-founder and CEO Vladik Rikhter in a statement to TechCrunch.

Early Investment and Platform Evolution

Greg Gretsch, founding partner and managing director at Jackson Square Ventures, initially invested in Zenput’s Series A round in 2016, having first connected with Rikhter a year earlier. At that time, Rikhter was developing what Gretsch described as an organizational task management system. Gretsch closely monitored Rikhter’s dedication to platform expansion, even before making an investment.

Addressing Remote Management Challenges

“A key aspect of managing multi-location businesses is overcoming the challenges of remote management,” Gretsch explained. “The goal is to ensure consistent performance across all locations, elevating the weakest link to the level of the strongest. A robust platform is essential for accountability and continuous improvement.”

Mobile App Functionality and Waste Reduction

Zenput’s mobile application is utilized by front-line employees for daily onboarding, safety compliance tracking, and fresh food checks – processes historically difficult to manage across thousands of locations. The app also provides alerts when food has been left unattended for excessive periods, contributing to reduced food waste.

Extensive Customer Base and Global Reach

Since its inception in 2012, Zenput’s solutions are now deployed by prominent customers such as Chipotle, Domino’s, P.F. Chang’s, Five Guys, Smart & Final, and 7-Eleven, spanning over 60,000 locations in more than 100 countries.

Significant Revenue Growth and Product Usage

The Series C funding round follows a year of 100% revenue growth for the company. Simultaneously, product usage more than doubled across stores, and the platform has facilitated the answering of 1.5 billion questions to date – a number Rikhter anticipates will double within the next 12 months as businesses seek remote operational solutions.

Impact of the Pandemic and Future Development

“The pandemic, while initially disruptive, ultimately accelerated our growth,” Rikhter stated. “Many brands we work with recognized the need to expedite technology adoption and viewed our platform as a valuable investment. We are actively developing new products to further enhance food safety and operational efficiency.”

Allocation of Funds and Expansion Plans

A substantial portion of the new funding will be allocated to the development of these new products and capabilities, as well as to marketing initiatives aimed at expanding the customer base. The company recently launched an enhanced version of its Zenput for Franchisors tool and implemented updates to its food prep labeling and temperature monitoring features.

Workforce Expansion

Rikhter also intends to double Zenput’s workforce over the next 16 to 18 months, with a particular focus on expanding the product engineering and marketing teams.

Adapting to Evolving Business Needs

These developments are geared towards meeting the increasing demand from restaurants, convenience stores, and grocery chains as they adapt their business practices for the future.

The Future of Operational Flexibility

“We anticipate seeing restaurants making daily adjustments to their protocols, driving a more dynamic operational landscape,” Rikhter predicted. “Operators are discovering new levels of flexibility in promotions and product offerings, enabling faster growth and a wider range of customer options.”