Restaurant Delivery Management Start-up Ordermark Raises $18m

Ordermark has raised $18m to expand its food delivery management system into more restaurants in the US.

Ordermark, the food delivery management start-up founded by fourth-generation restaurant owner Alex Canter, announced yesterday (29 July) that it has raised $18m.

The round was led by Colorado-based Foundry Group. All of Ordermark’s previous investors, including TenOneTen Ventures, Vertical Venture Partners, Mucker Capital, Act One Ventures and Nosara Capital, also contributed to the Series B funding round.

With the funding, Ordermark plans to expand its business into more restaurants and more delivery apps. The start-up wants to make its technology compatible with more delivery service companies, as well as more restaurant technologies, kitchen display systems and point-of-sale software.

“There’s almost 200 online active ordering services around [the US] right now,” Canter said. “We’re organising the messy landscape and making it simple for restaurants to just put their heads down and crank out food, which they do best, instead of focusing on the different tablet systems in the restaurant.”

Canter, who runs Canter’s Deli in Los Angeles, began experimenting with online ordering back in 2013. He signed Canter’s Deli up for 14 online ordering services at once and saw revenue grow by 30pc. However, according to Canter: “The ongoing struggle of managing all of the online ordering services was unsustainable.”

To solve this problem, Canter developed Ordermark with his team. So far, the system has been adopted by more than 3,000 restaurants across the US and has integrated more than 50 ordering services. The company now has two offices, one in Denver and one in Culver City, California.

After receiving $9.5m in Series A investment in September 2018, the latest round of funding brings the total amount that Ordermark has raised to date to nearly $30m.

Foundry Group partner Chris Moody said: “Foundry Group has a long history of investing in companies that glue together disparate systems over diverse platforms, and that’s exactly what Ordermark is doing in the restaurant industry: connecting third-party ordering solutions, point-of-sale systems and other cool innovations to help restaurants consolidate, grow and understand their delivery business.”

“The more we got to know Alex and the team, the more we realised what an incredible platform they’re building. Their products work in part because Alex is a fourth-generation restaurant owner and he and his team truly understand the needs of the restaurant industry.”

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