WoodSpoon announced another fundraise of $14 million with some interesting investors in the mix. The platform, on which home chefs can sell their food for delivery, just announced its latest raise and teased further expansion of the community-centric, two-sided marketplace.
Founded in New York by co-founders, Oren Saar and Merav Rozengarten, who were missing their Israeli delicacies, Saar is now CEO and Rozengarten is now the company’s CMO.
The pair launched the company in 2019 and it now caters to more than 8,000 users buying food from more than 100 chefs. So far, the company operates in New York, Brooklyn and Queens with another “major city” coming in the next few months teased along with the funding announcement.
Oren Saar said the new funding further validates the foundational idea and fuels company growth much faster than originally planned. The company raised $2 million in early 2020 to focus on New York growth, but things went very well.
“The idea around the previous round was stay super focused in New York and increase our marketing team and footprint here. We started to deploy the funds in January and, since January, we’ve been growing at about 50 percent in sales, customers and chefs, so we see very rapid growth with no diminishing returns or growing customer acquisition costs,” said Saar. “The investors saw that and started reaching out.”
He said the core of the new conversations was what will happen if you raise the money now instead of a year from now