Cloud-kitchen brand Yumlane bags $1 mn by Jetty Ventures in a Pre-Series A round

Cloud-kitchen platform Yumlane has raised Pre-Series A $1mn led by Singapore-based fund Jetty Ventures.

Having established a product-market fit, Yumlane currently has 30 PODs across Bangalore and Pune. The investment round led by Jetty Ventures will enable the cloud kitchen startup to expand in new cities and hiring.

“We believe cloud kitchen format will be the flag-bearer of the food services industry in the coming years and expect more consumers to order online food delivery vis-à-vis eat-out,” said Hitesh Ahuja, Founder & CEO of Yumlane.

In early 2019, Yumlane pivoted their business model from a FMCG packaged food startup to cloud kitchen and is founded by Hitesh Ahuja, Rahul Kumar and Reuben Ghosh.

Yumlane managed to operate the kitchens during the lockdown phase due to COVID-19 and noticed a slight dip in sales due to supply side constraints and has recovered since the food delivery environment is inching back to normalcy

“Both Global & Indian markets have shown a clear consumer preference towards order-in for non-occasional meals. The F&B industry has seen the QSR format carve a significant share in the eat-out food services space especially in the organized chain segment. Conditions are right for order-in preference to carve a large share in the overall market,” added Chirag Meswani, Managing Partner, Jetty Ventures who believed that cloud kitchens will be a capital efficient format for this thesis to play out.

The cloud kitchen market is expected to grow to a $6bn industry by 2025 and Yumlane is the fastest growing player in the space. The Qwikpik Technology Pvt. Ltd. owned food brand platform has previously raised funds in the past by Binny Bansal (Ex-Cofounder / CEO Flipkart), RB Investments and Orios Venture Partners.