ResQ, the restaurant repair and maintenance marketplace platform, has secured $7.5m in seed funding from top-tier investors.
The investment, which brings the total capital it has raised so far to $9m, is being used to propel growth and help the fast-growing restaurant tech disruptor optimize back-of-house operations for restaurants with a focus on driving down operational costs.
Kuljeev Singh, founder and CEO of ResQ, said: “The restaurant technology landscape has seen tremendous growth, however, most of the innovation and investment has focused on front-of-house technology, such as delivery, order ahead, and point of sale.
“As a former restaurant operator, I’ve experienced firsthand the high cost of back-of-house operations. To successfully emerge from the pandemic, restaurants need to consider how to turn back-of-house operations into a revenue recovery opportunity and bring technology and innovation to their whole business.”
ResQ says that on average, restaurants spend 3% to 5% of their annual sales on repairs and maintenance.
Through its SaaS-enabled marketplace, it claims to have saved customers between 10% and 30% in annual repairs and maintenance spend through a combination of competitive marketplace rates and a significant increase in productivity through process and communication improvements at scale.
As a marketplace platform, ResQ offers service contractors revenue growth opportunities through ResQ’s large restaurant customer base.
“By bringing on trusted service contractors, we’re able to grow their business and help contractors thrive during the pandemic as well,” continued Singh.
“Technology and services have been overlooked for commercial contractors limiting the scale and reach that service contractors deserve. Investing in elevating service contractor experiences will in turn lead to superior quality of work and better experiences for restaurants.”
ResQ is used by more than 3,000 leading global restaurant groups in quick-service and full-service sectors including KFC, Taco Bell, Pizza Hut, Wendy’s, Arby’s, The Keg, Cactus Club Cafe, CRAFT, Paramount, Franworks, Fresh and Tim Hortons.
The $9m that ResQ has now raised in funding has been led by Homebrew, Golden Ventures and Inovia Capital.
In addition, the business also has the support of industry veterans as investors and advisors including Nilam Ganenthiran, president at Instacart, Gokul Rajaram from Doordash, Lenny Rachitsky from Airbnb, Jeff Adamson and Andrew Chau, co-founders of SkipTheDishes, Maple Ventures and Polar Venture Partners.
Shehzad Janmohamed, CEO of Soul Foods Group, which is part of Yum! Brands and has also invested in the business, says the company has benefited from using ResQ’s technology.
“Repairs and maintenance is very resource-intensive which impacts top and bottom lines if not managed effectively,” he said. “ResQ has been a powerful platform for us to offload our headaches and handle our repairs and maintenance, so our team can be focused on scaling our operations and growing the business. ResQ has saved us a significant amount in operational costs and time savings.”
Over the last 12 months, ResQ has experienced 750% growth in revenue, tripled the size of its team, and launched in eight new markets across the US and Canada.
It recently opened in San Francisco following the success and traction the company built in LA, Dallas, Chicago and Phoenix.
Tech business that reckons its platform can save restaurants between 10% and 30% in annual repairs and maintenance spend has now raised $9m in funding