While the food-tech ecosystem in the country has slowed down over the past couple years, new and emerging food delivery startups are bagging capital to expand their operations both geographically and in sales numbers. The latest addition to the list is Mr. Hot foods, which has secured an undisclosed funding from angel investor Pawan Kumar.
The investment in the food delivery startups was driven through the IvyCamp platform, which leverages the Global Alumni Networks to enable alumnus to join and mentor budding entrepreneurs. Thus, Pawan Kumar, who is an IIT Delhi and IIm Lucknow alum, has not only invested but will also become an onboard mentor for the company.
Commenting on the fundraising round, Pankaj Sharma, co-founder of Mr. Hot foods and IIT Kharagpur alumni, says,
Addition of Pawan as a mentor to our team Mr. Hot foods has helped us to understand the dynamics of F&B industry on a larger scale. His ideas and regular inputs helps us in strategic decision making.
Mr. Hot foods is a technology-enabled food delivery startup, whose primary aim is to empower your favorite bhojanalayas, thali houses and tiffin centers. Founded in 2014 by Pankaj Sharma and Achal Bansal, the company delivers home cooked meals in a restaurant-style of ordering and standardized packaging for orders collected through its mobile app.
Currently operational in Indore, Madhya Pradesh, and Kota, Rajasthan, the company delivers nearly 1,300 meals a day. As for revenue generation, Mr. Hot Foods operates on two distinct models, where it either charges 4% of the total order cost or takes a monthly fee from vendors.
In addition to increased sales and online marketing, the vendors are benefited via professional training from chefs, and access to analytics and technology to handle current operations efficiently. This also enables them to build a better business and brand, capable of competing with other restaurants.
Mr. Pawan Raj Kumar, an active investor and mentor in various startups is also an entrepreneur himself. Having set up a diversified organisation in the food and beverage industry, he brings strategic knowledge and connections for Mr. Hot foods to the table. Sharing his valuable insight about the industry and investment, he says,
Mr Hot foods is solving a very big problem that is faced by many young Indians when they study and work away from home. They are looking for options of homely food. At the same time, they are focussed on addressing the needs of the small kitchens that make good simple food but lack the bandwidth to reach out to these customers. I truly believe that with India’s huge young and migratory population, Mr Hot foods has touched the right chord in the business of food service and delivery.
Commenting on the announcement, Anju Gupta, Co-founder and President at IvyCamp, said,
Our long-term vision is to be a partner of choice and enabler for early stage start-ups to achieve their business objectives. We have found that Alumni are very excited about working with start-ups (mentoring and investing) as they see this as another way to give back to their own Alma Mater and other institutes.
