Glasgow Tech Firm Spoonfed Secures £575,000 for US Expansion
The catering management software firm plans to use the newly secured development funding to open a second office in the US.
Glasgow-based tech firm Spoonfed has secured £575,000 development funding from a private investment group, Equity Gap. The software company, which already has an office in Richmond Virginia, plans to use the cash to add another office to its US operations, the new base will be in Denver Colorado.
Currently, Spoonfed employs 11 people but hopes to increase this number to 20 by the end of this year. The new staff will include software engineers in Glasgow and customer services staff in Denver.
The company’s SaaS (software as a service) platform provides an ordering system for caterers and restaurants and their customers, such as businesses, universities, and hospitals.
Willie Biggart, Spoonfed co-founder and MD, said: “2018 was a great year for Spoonfed, with monthly revenues increasing by more than 140%. An increase of 300% in set up fees in the final quarter of 2018 indicates that this growth will accelerate in 2019.”
The company has already established itself in the UK, Canada, Ireland, Holland, Belgium, France and Australia, and this year’s expansion will see it take a larger share of the US market. The B2B catering market is worth an estimated £40 billion globally.
In the UK Spoonfed’s customers include POD, Notes and Voodoo Ray’s, Le Pain Quotidien, Crussh, Benugo, and Birleys. In the US, Boston chain Flour Bakery, Paul USA, Zucker’s Bagels and Maison Kayser in New York have signed up.
Biggart added: “Our major focus this year will be on the US market. 2018 was the first year that our US revenues matched and exceeded those in the UK. This new funding will help us make further roads into a market that’s eight times larger than the UK.”