Loop secured $6 million in seed funding to enhance the profitability of third-party delivery services for restaurants, addressing significant industry challenges.

Information on the Target

Loop is a startup focused on enhancing the profitability of third-party delivery services for restaurants. With the growing trend of online food delivery, Loop aims to streamline processes and reduce the burdens on restaurants that can arise from using third-party platforms. The company has recently secured $6 million in seed funding, which it plans to utilize for further development and expansion of its services.

The main challenge that Loop addresses is the significant fees and commissions imposed by third-party delivery services, which can range from 15% to 30% of total sales. Additionally, Loop aims to tackle the issues of chargebacks and inaccuracies in order fulfillment, as these complications can negatively impact the financial success of restaurants involved in third-party delivery.

Industry Overview in the Target’s Specific Country

The third-party delivery market has seen significant growth, becoming a vital channel for restaurants looking to increase their sales. This growth, however, comes with its own set of challenges, primarily high commiss