Angel investment will create new jobs and international trade for Spoonfed

EquityGap

 

Equity Gap announced today a £250K investment in catering software company Spoonfed. Based in Livingston, the startup will use the investment, which is co-funded by the Scottish Investment Bank, the investment arm of Scottish Enterprise, to create new jobs and accelerate the internationalisation of their automated catering software.

Spoonfed launched in 2013 and already boasts a customer base that stretches across the UK, from Aberdeen, Edinburgh and Glasgow to Birmingham, Manchester, and London, including high street bakery chains, independent sandwich retailers, outside catering businesses as well as institutional caterers such as universities and colleges.

The business has also seen interest from the US, Australia and Asia, and with a more mature international market in this sector, the investment will be used to speed up Spoonfed’s entry into the international marketplace.

Spoonfed was born out of the recession. Its co-founders, Willie Biggart and Murray McNicol, were running a drop off catering business supplying food for business meetings, and to protect the business against the impact of the recession they created software to automate the catering business process, saving them time, reducing mistakes and increasing margins.

Having pulled the catering business through the recession, it became clear that there was value in this automated system, and with nothing else like it on the market, the business owners sold the catering company to work full time on developing the software.

Willie Biggart has previously provided equity funding to startups and knew he wanted to approach funding Spoonfed in a different way. Working closely with their customers, the company worked relentlessly for two years, testing and debugging the software before launch.

“Our strategy was to make sure our business had traction before we took it to angel groups like Equity Gap. Having bootstrapped the company with personal investment of nearly £500k from founders and sweat equity from suppliers, we were able to present a well-oiled and properly financed enterprise to investors, free from problems, and with a customer pipeline firmly in place,” said Willie.

Jock Millican of Equity Gap agrees: “It was refreshing to see a different approach being taken by a company seeking investment. It was clear the founders of Spoonfed were presenting a business that had already ironed out a lot of teething problems, that was confident, and in good shape financially.”

Spoonfed is a cloud-based system for catering management which companies use for on-line ordering, production planning, route planning, invoicing and bringing together these functions in one integrated solution.

Equity Gap is a business angel syndicate, actively investing and co-investing in early stage Scottish based companies.


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