Fambo is a well-known food solutions startup based in Noida and has been able to close its Series A round, raising ₹21.55 crore. This substantial capital inflow was led by AgriSURE Fund, which is administered by NABVENTURES Limited, and the influential involvement of current shareholder EV2 Ventures. The successful fundraiser is an important milestone for the company as it aims to expand its specialized supply chain and food processing business to support the growing food service sector in India.

Expansion and capital inflow

Fambo was founded in 2022. Fambo has quickly become a major provider of fundamental food solutions to the HoReCa industry. The startup focuses on delivering fresh produce and semi-processed foodstuffs and serves as a key point of contact between the farm and professional kitchen.

In January, earlier this year, the startup already raised a significant investment of ₹21 crores in an investment round headed by EV2 Ventures and other individual investors. The new capital investment justifies the framework of the company and how it can break the grounds of the conventional supply chain of the Hotel, Restaurant and Café (HoReCa) industry in India. The ₹21.55 crore collected in this Series A round will be used in an extensive expansion plan that will enhance the market presence and performance of Fambo.

A large part of the fund will be channeled into speeding up the expansion into new markets, which will be outside of the current area of operation. The investment will be utilized to increase the technology infrastructure in its entire supply chain. Through the application of the most innovative technology solutions, Fambo will be able to retain its competitive advantage in terms of logistics planning and quality control, which will further enhance the general efficiency and openness of its work.

Fambo has more than 1,000 restaurants and cloud kitchens distributed in North and Central India. Some of the well-known clients of Fambo who depend on its supply chain solutions are McDonald’s, Burger King, Burger Singh, California Burrito, Nomad Pizza, and Barbeque Nation. Through its direct collaboration with these large players in the industry, Fambo is also dealing with some of the major issues in logistical and quality control that the Indian food service procurement ecosystem has struggled with.

Operational reliability and business model

The operational backbone of Fambo is defined by the high level of integration at the farm level and the advanced technological logistics. The firm runs on an exclusive network of farms amounting to 75 acres of GAP-certified farmland. This certification will make the produce traceable and quality-assured at its inception.

The startup has a transparent farm-to-fork supply model where it is in close collaboration with farmers in all processes that are crucial, like crop planning, procurement, and post-harvest management. This integration is a requirement for ensuring the consistency and standardization of the ingredients, which is a requirement of large restaurant chains.

Fambo has an AI-based logistics planning platform that handles its temperature-controlled supply chain. The infrastructure is best suited to the chilled and frozen delivery, which is essential in preserving the quality and freshness of perishable goods that it is designed to deliver. The startup runs an advanced processing plant in Noida where the company produces its semi-processed foods.

It has an in-house kitchen staff that works directly with partner brands by developing special menu items together, which further differentiates its service offering. The whole design is directly aimed at addressing the fundamental inefficiencies of the HoReCa purchase ecosystem in India by targeting the areas of consistency, standardization, and farm-level integration.

Fambo competes jointly with other top competitors like WayCool Foods, FreshToHome (B2B), and Ninjacart. The company is also distinguished by the primary strategic focus on its offering: the delivery of standardized, co-developed ingredients along with an AI-based optimization system of the supply chain. This synergy will enable Fambo to provide its partners with higher product quality and ensure that its operations are reliable.

Conclusion

The ₹21.55 crore Series A round by NABVENTURES AgriSURE Fund and EV2 Ventures is a landmark in the path of Fambo to standardize and digitize food supply in the giant HoReCa industry of India. With the capital being directed at geographic growth, technological improvements, and scaling of its operations, the Noida-based startup is highly prepared to expand its presence well beyond the current 1,000-plus restaurants that it has served.